Coinbase CEO Calls for New Listing Approach Amid Surge in New Tokens

Brian Armstrong, the CEO of Coinbase, highlighted that the platform is inundated with approximately one million new cryptocurrency tokens introduced every week. This surge in new listings has made it increasingly challenging for the company and regulators to assess each application thoroughly, which he argues is no longer a feasible task. He insists that the regulatory bodies should understand the impracticality of vetting such a high volume of applications weekly.

Coinbase has gained significant momentum since going public in 2022, achieving a valuation of $74 billion and establishing itself as a leading cryptocurrency trading platform. Armstrong elaborates that the company employs a structured application process for new currency listings, which is based on its proprietary digital asset framework. However, he emphasizes that individually vetting each token has become cumbersome and urges for a more efficient regulatory approach.

To enhance the listing process, Armstrong proposes a shift toward a 'block list' system. This new framework would leverage customer feedback and automated blockchain data scanning, streamlining the evaluation of new coins. Currently, the listing process at Coinbase consists of multiple rigorous steps, including an initial review, a due diligence analysis, and ongoing post-listing support.

Additionally, Justin Sun, the founder of the cryptocurrency Tron, expressed frustration regarding his token's prolonged wait for listing approval on Coinbase, stating it has been under review for seven years despite its strong performance in other markets. He questions whether Coinbase will eventually list Tron, suggesting that the delay reflects a lack of fairness and sound judgment within the company's listing practices.