Coinbase has renewed its call for U.S. banking regulators to provide clear guidance on how banks can offer cryptocurrency services and collaborate with digital asset firms.
The crypto exchange’s push comes amid a broader effort by the industry to lobby lawmakers for a regulatory framework that supports growth and innovation in the sector.
Most traditional U.S. banks have avoided working with cryptocurrency companies due to a lack of clear regulations, making it difficult for the industry to integrate with the mainstream financial system.
“For the last several years, U.S. bank regulators have unilaterally and undemocratically barred banks from offering crypto services,” Coinbase Chief Policy Officer Faryar Shirzad wrote on social media platform X.
Shirzad also sent a letter to top U.S. banking regulators, including the Office of the Comptroller of the Currency (OCC), the Federal Reserve, and the Federal Deposit Insurance Corporation (FDIC), urging them to allow banks to provide services related to cryptocurrency.
The OCC declined to comment, while the Federal Reserve and FDIC did not immediately respond to requests for statements.
Crypto firms have long argued that U.S. banking regulators have deliberately restricted their access to the traditional financial system, a claim that regulators have denied.
Coinbase’s latest push aligns with efforts by the industry to influence policy through political donations, particularly in support of Donald Trump’s potential return to the White House.
The crypto industry has contributed millions to political campaigns, hoping that a new administration will prioritize regulatory clarity and halt what companies see as excessive enforcement actions.
Trump has positioned himself as a pro-crypto candidate, promising to be a “crypto president” and recently appointing former PayPal executive David Sacks as his “White House A.I. & Crypto Czar.”
The Biden administration has taken a more cautious approach to digital assets, with the U.S. Securities and Exchange Commission (SEC) intensifying its oversight of the sector.
Last month, the SEC created a task force to develop a regulatory framework for cryptocurrency, signaling continued scrutiny of the industry.
Despite these developments, traditional U.S. banks have remained hesitant to engage with digital assets, fearing potential regulatory repercussions.
Cryptocurrency markets have also faced challenges, with Bitcoin recently falling to a three-week low as regulatory uncertainty continues to weigh on investor sentiment.
Coinbase and other crypto firms argue that without clear rules, the U.S. risks falling behind in the global race to establish itself as a leader in digital finance.
As political and regulatory debates continue, the industry will be closely watching how U.S. policymakers respond to calls for greater clarity and support for crypto banking services.