Important takeaways
- Coinbase plans to expand token listings, including memecoins, under a more favorable regulatory environment expected with the Trump administration.
- The exchange is diversifying its revenue streams beyond trading to include staking and stablecoin revenue.
Coinbase wants to add support for more smaller tokens, including meme coins, as the company expects a more favorable regulatory environment under the incoming Trump administration.
In a recent interview with Bloomberg, Tom Duff Gordon, Coinbase’s VP of international policy, said the exchange plans to expand its offerings once clear guidelines for the crypto sector are in place.
Regulatory clarity would allow Coinbase to engage in projects and tokens that they “couldn’t offer to Americans,” Gordon said.
“We’re talking more about some of the smaller tokens, some of the meme coin tokens,” he added.
Coinbase is facing legal hurdles from the SEC regarding its operations and its listed crypto assets. The commission accuses the exchange of offering trading services for 13 tokens considered securities without proper registration, including SOL, ADA and MATIC.
Crypto companies focused on the securities watchdog also include Binance, Kraken, Gemini, and Ripple Labs, to name a few. The current administration is considered hostile to the industry.
Trump promised in May, he would end hostility to crypto and promote a supportive environment for businesses in the United States. His support for the industry is expected to ease tensions between the regulator and crypto companies.
Coinbase has expanded its operations internationally, launching a derivatives exchange in Bermuda in response to regulatory challenges in the United States. Diversification is necessary to reduce dependence on US trade revenue, according to Gordon.
Still, the U.S. remains the company’s “most important market,” Gordon said. “That’s where we employ most of our staff. That’s where we have most of our users.”
Coinbase, once selective in listing meme tokens, has expanded its offering to include more popular options.
While the platform previously focused on leading meme coin like Dogecoin and Bonk, it has recently added Pepe, dogwifhat and Floki Inu to its roster. These listings have led to impressive price increases, especially for Pepe’s PEPE token, which jumped 50% after the announcement.
