Coinbase CEO Pushes Back on UK Stablecoin Caps as Token Profits Surge
The post Coinbase CEO Pushes Back on UK Stablecoin Caps as Token Profits Surge appeared on BitcoinEthereumNews.com.
In brief Coinbase CEO Brian Armstrong said Tuesday that the Bank of England’s proposed stablecoin caps would make the UK an “innovation blocker” in digital finance. Bloomberg Intelligence estimates Coinbase’s stablecoin revenue could grow two to sevenfold under the U.S. GENIUS Act, depending on final rulemaking. Armstrong last month torpedoed the CLARITY Act hours before a Senate vote, saying he would “rather have no bill than a bad bill.” Coinbase CEO Brian Armstrong warned Tuesday that the Bank of England’s proposed stablecoin caps risk costing the UK its status as a global financial hub, as the exchange simultaneously battles regulators and lawmakers in Washington over rules that could make or break its growing revenue stream. “Stablecoin rules in the UK are being finalized, and are at risk of preventing the UK from being globally competitive in the digital economy,” Armstrong wrote Tuesday on X. “The current direction of the rules does the opposite, and will act as an innovation blocker.” His post amplified a petition by Stand With Crypto UK, a trade advocacy group seeded by Coinbase in 2023, which has gathered more than 80,000 signatures ahead of its March 3 deadline, calling on the British government to “drive a pro-innovation stablecoin and tokenization regulatory regime” and appoint a blockchain and crypto czar. Last year, the Bank of England proposed capping individual stablecoin holdings at $26,350 (£20,000) and business holdings at $12.7 million ( £10 million), while requiring 40% of reserves be held in non-interest-bearing central bank accounts, a plan British lawmakers warned would “deter innovation, limit adoption, and push activity overseas.” Meanwhile, Coinbase earned $1.35 billion in stablecoin revenue in 2025, up from $911 million the prior year, with $364 million coming in the fourth quarter alone, in a period that included a net loss of $667 million…
Filed under: News - @ February 25, 2026 5:28 am