Coinbase CEO Brian Armstrong has been flooding with the growing market for crypto tokens. In a post on Sunday X, Armstrong claimed to create 1 million crypto tokens per week. He said that with the influx of new tokens, evaluating each token is no longer feasible. According to CoinMarketCap, it is currently in circulation with more than 10.19 million crypto tokens.
Armstrong, who co-founded Coinbase in 2012, said the flood of cryptocurrencies has become a problem. He also noted that regulators need to establish a blocking system for tokens that have not applied for regulatory approval.
“Regulators need to understand that at this point it is also completely unfeasible (they can’t do 1 million per week). It needs to be moved from allow lists to block lists and leverage customer reviews/automatic scanning of on-chain data, etc. to help customers filter .”
We need to rethink our listing process @coinbase Given that about 1 million tokens are being created and are growing. High-quality problems need to be present, but no longer feasible to evaluate each problem. Regulators need to understand that applying for approval for everyone is…
– Brian Armstrong (@brian_armstrong) January 26, 2025
Coinbase said last week that its market capitalization exceeded US$3 trillion (approximately Rs 259,10,248 crore). According to its website, the exchange conducted due diligence before listing tokens on its platform. It requires a vote on which assets are listed from its internal Digital Asset Support Group (DASG), while also evaluating tokens based on its laws, compliance and security standards.
The head of Coinbase recently held the World Economic Forum in Davos, Switzerland. He said summarizing key points in his campaign, saying company leaders, banks, asset managers and payment services companies have made it clear that they are increasing their investment in cryptocurrencies. Therefore, Armstong highlights the need for smarter rules that can make the cryptocurrency sector more secure.
He also noted that Donald Trump’s return as U.S. president forced “everyone to step up the game.”
“In cryptocurrencies, there will be more players and games than ever before, and we welcome everything. We need crypto to update the entire global financial system to bring those benefits to everyone,” Armstrong said.
In view of the projected growth rate of the crypto industry, regulators in several regions around the world are taking security measures for stakeholders. The cryptocurrency sector is still affected by micro or macro developments of international political and financial developments, as well as other factors.
In India, for example, the government has not issued a series of regulations that oversee cryptocurrencies. Meanwhile, industry agencies are taking on the task of deploying certain parameters to ensure that the industry is protected against scams such as carpet pulling and exploitation.
Last April, the Bharat Web3 Association formulated some rules for cryptocurrency exchanges while considering listing new tokens on its platform. Based on the Plan, Execute, Check (PEC) framework, these guidelines guide all crypto exchanges to be the primary filters for new tokens in order to seek to list and establish minimum standards for reviewing the tokens that will be listed for channels for public participation. .
