Crypto news

Coinbase Considers Becoming a Bank—Yes, Really!

BBG News

The crypto world, known for its wild fluctuations and being a little more unpredictable than a cat on a hot tin roof, is suddenly getting more buttoned-up. Enter Coinbase, a company that’s now actively considering the possibility of acquiring a U.S. banking license. Yes, you read that correctly—Coinbase, the same company that probably once operated out of a garage, is now thinking about sitting at the grown-up table with the big banks. 🏦

On April 22, crypto.news reached out to the folks at Coinbase to get their take on this potential move. And guess what? They confirmed they are *actively* considering it. No decisions have been made yet, but the idea is being tossed around more than a football at a tailgate party. A Coinbase spokesperson said in an email:

“This is something Coinbase is actively considering but has not made any formal decisions yet.”

Now, before you start imagining Coinbase with a briefcase and a tie, let’s add a bit more spice to the story. The company’s CEO, Brian Armstrong, has already suggested that Coinbase’s consumer funds are so plentiful, they could rank as the 21st largest bank in the U.S.—if it were a bank, that is. Pretty cheeky, wouldn’t you say? Someone’s feeling quite important these days. 🏦

But wait, Coinbase isn’t flying solo in this banking adventure. On April 21, the Wall Street Journal reported that other crypto companies like Circle (the creators of USDC) and BitGo are also eyeing the prospect of a full banking license. If they succeed, they’ll be able to do all the traditional banking things, like lending, accepting deposits, and, you know, taking over the world one Bitcoin at a time. 😎

Banking licenses, however, come with a price. Not only will they give these crypto giants access to the Federal Reserve’s protective umbrella and deposit insurance (sounds cozy), but they’ll also have to deal with stricter regulations and costly compliance. It’s like joining the country club—except they’ll have to follow the rules and pay the membership fee. 💸

So far, the only crypto-native company to secure a banking license is Anchorage Digital, and according to CEO Nathan McCauley, they had to fork out tens of millions to jump through the necessary hoops. A small price to pay for entry into the prestigious “bank” club, right? 🏛️

U.S. Prepares to Regulate Stablecoins and Altcoins: You’re Welcome

The increasing number of banking license applications comes at a time when the U.S. government, under the *notorious* leadership of President Donald Trump (who else?), is cozying up to the crypto industry. Agencies like the SEC are being more lenient, thanks to Trump’s political appointees. Nothing says “let’s regulate crypto” like a few friendly backslaps, right? 👏

Meanwhile, two major pieces of legislation are on the horizon: the GENESIS Act and the STABLE Act. These bills aim to provide regulatory clarity for the crypto world, which is probably the equivalent of finding a map in the middle of a maze. They’re expected to benefit crypto companies that don’t mind playing by the rules (those are the “good guys” in this story, in case you’re wondering). 📜

And just when you thought things couldn’t get more absurd, U.S. banks are starting to warm up to crypto. In February, Bank of America’s CEO Brian Moynihan let slip that the firm might just be launching its own stablecoin. Because nothing says “we’re down with crypto” like printing your own digital money, right? Earlier in January, he even went so far as to suggest that crypto payments might one day be integrated into the banking system. Oh, what a time to be alive! 💳

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2025-04-22 16:50

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