Coinbase CEO Urges UK to Expedite Crypto Regulations for Global Hub Status

Coinbase CEO Brian Armstrong has been actively engaging with UK policymakers, urging them to expedite crypto regulations. His efforts aim to position the UK as a leading global crypto hub, rivaling the US. This push comes as the UK government unveils draft crypto asset legislation, targeting full implementation by 2026. The legislation emphasizes tax transparency and regulatory oversight, aligning with the OECD’s Cryptoasset Reporting Framework.

Armstrong’s discussions with UK officials highlight Coinbase’s strategic focus on markets open to digital asset innovation. The UK’s draft crypto asset regime, set to be fully rolled out by 2026, prioritizes tax transparency and robust oversight mechanisms. Tom Duff Gordon, Coinbase’s VP of International Policy, is instrumental in shaping the UK’s regulatory landscape, bridging traditional finance and Web3 to develop balanced policies that foster innovation while ensuring consumer protection.

Industry leaders, including Ripple, have echoed calls for expedited legislation to capitalize on the current regulatory momentum. The UK Financial Conduct Authority (FCA) is refining regulations around stablecoins and crypto custody, having recently concluded a public consultation. Further input is being solicited on emerging areas such as staking, lending, and decentralized finance (DeFi), signaling a comprehensive regulatory approach. Chancellor Rachel Reeves emphasized the government’s dual commitment to innovation and consumer safety, stating that robust crypto rules will enhance investor confidence and fintech growth.

Despite progress, industry insiders express concerns over slow licensing processes and regulatory uncertainty. A recent survey of 150 crypto and finance professionals revealed that only 15% believe the UK is currently on the right regulatory path. However, half of respondents see potential for the UK to emerge as a global crypto hub. Notably, just 9% of firms feel fully prepared for the incoming regime, highlighting a gap between regulatory ambition and industry readiness.

This regulatory evolution occurs amid a broader global crypto resurgence. The UK’s approach diverges from the EU’s MiCA framework by avoiding stablecoin volume caps and potentially allowing foreign stablecoins to operate without local registration, offering flexibility that could attract international players. The FCA’s recent proposal to lift the retail ban on cryptocurrency exchange-traded notes (ETNs) marks a significant policy shift, signaling maturation in the UK’s crypto market. Coinbase CLO Paul Grewal praised this move as a major milestone for the UK’s digital asset leadership.

Additionally, IG Group’s decision to enable retail crypto trading reflects growing institutional and retail confidence in the UK market. Nevertheless, Armstrong and other industry figures caution that delays in licensing, funding challenges, and regulatory ambiguity risk driving startups to relocate to more crypto-friendly jurisdictions such as the EU, Singapore, or the US. The coming years will determine whether the UK can successfully balance innovation with regulation to secure its place in the evolving global digital asset landscape.