Let us talk about the interesting comments Coinbase CEO Brian Armstrong made about Binance and FTX at the Global Investment Summit in London.
Let us also keep an open mind but make sure to come up with a scenario that makes sense for you after you have done your due diligence and research.
Global Investment Summit
At the Global Investment Summit in London, Brian Armstrong basically said that now the bad actors are out of crypto, we can finally build. And he was referencing Sam Bankman-Fried (SBF) from FTX and Changpeng Zhao (CZ) from Binance.
“There certainly have been a few bad actors in crypto and I think we’ve had a moment recently with the enforcement action against Binance that’s allowing us to turn the page on that and close that chapter of crypto’s history.”
Binance, FTX, & Coinbase
When we are talking about FTX and Sam Bankman-Fried, he was completely a bad actor that committed fraud and knew exactly what he was doing.
Now when we are talking about the allegations at Binance — I am not saying CZ is innocent or that we should not go after for the exchange’s bad behavior on what they did on the platform, for the AML and transmitting illicit crypto transactions back and forth to bad organizations, because that did happen.
However, here’s a thought-provoking question for the crypto community: “Do you think Coinbase did not do any of that at all? Do you think that Coinbase is 100% perfect and that they never facilitated a single bad transaction? — let’s all think about that for a second.
Coinbase As Custodian For Crypto Spot ETFs
Coinbase is one of the primary custodians for Bitcoin Spot ETFs — they are responsible for the safekeeping and managing of Bitcoins purchased by institutional investors. The publicly traded company is also a liquidator for crypto assets that are supervised by US public servants. This means they are responsible for selling these assets in an orderly fashion if they are ever needed to be liquidated.
I understand what Brian Armstrong is saying that if we remove all these bad actors, we are going to have a great place in crypto, thrive and get that Bitcoin Spot ETF.
So when he is talking about removing bad actors out of the space, is he also talking about himself? Because let’s face it — there is nobody in crypto that is 100% perfect and Coinbase has probably facilitated some illicit transactions because again, there are bad actors in every single industry.
The banking sector was created in the 1700’s and has been around since the last 300+ years, and do you think all these laws and protections that we have in the banking industry have stopped bad actors and bad human behavior? No, not at all.
I am simply saying that it is very interesting to hear the Coinbase CEO make a statement like this, calling CZ a bad actor but not talking about any of the partnerships they have with US public servants.