Coinbase urges UK to act on stablecoins in high-profile lobbying push

Coinbase has intensified its lobbying efforts in the United Kingdom, as highlighted in a recent Financial Times op-ed authored by George Osborne, the former UK Chancellor of the Exchequer and current Coinbase adviser [1]. Osborne warned that the UK is falling behind in the digital asset sector, particularly in the adoption of stablecoins, which have the potential to enhance global transactions and remittances.

Osborne emphasized that the UK’s historical strength in finance was built on its capacity to embrace innovation. However, he criticized the current administration, led by Chancellor Rachel Reeves, for failing to take decisive action on crypto policies, including those related to stablecoins. He argued that such inaction threatens the UK’s ability to maintain its influence in global financial services [1].

The UK’s pound, despite being among the top five most traded currencies globally, is not playing a significant role in the fast-growing stablecoin market. This contrasts with the U.S., where legislation such as the GENIUS Act aims to solidify the dollar’s dominance in the sector [1]. Osborne warned that without action, the pound risks being sidelined, further diminishing the UK’s global economic influence.

To amplify its message, Coinbase released a provocative musical ad titled “Everything Is Fine,” which satirizes the UK’s economic challenges, including its cost-of-living crisis. The ad, posted on YouTube, positions cryptocurrency as an alternative to a financial system perceived to be failing many citizens. Coinbase claimed the ad was banned by major UK TV networks, although CNBC could not independently verify this as of the latest available date [1].

Coinbase has historically focused much of its lobbying in the U.S., particularly during the 2024 election year, when it spent millions of dollars on influence campaigns. According to OpenSecrets, the firm has spent more on lobbying than any other crypto company [1]. Now, with Osborne’s op-ed and the ad campaign, Coinbase is shifting its attention to the UK—a market it first entered in 2015.

The company’s strategic efforts in the UK align with recent regulatory developments, such as the lifting of the ban on crypto exchange-traded notes for retail investors. These moves indicate a broader attempt to shape the UK’s regulatory landscape to be more favorable to digital assets [1].

The coordinated campaign by Coinbase and Osborne highlights the growing urgency within the crypto industry to influence policy in the UK. As stablecoins and digital assets continue to gain traction globally, the UK’s response—or lack thereof—will likely shape its position in the future of financial innovation [1].

Source:

[1] Coinbase turns lobbying efforts to UK in scathing op-ed – Cointelegraph

https://cointelegraph.com/news/coinbase-lobbying-uk-op-ed-george-osborne