🚨 SHOWDOWN: BESSENT vs. COINBASE — THE "CRYPTO NIHILIST" BATTLE
The gloves are officially off in Washington. Treasury Secretary Scott Bessent just leveled a scathing critique against Coinbase, labeling those blocking the latest crypto bill as "nihilists" who would rather see the industry burn than accept a compromise. $OWL
Here is why the CLARITY Act has turned into the biggest civil war in crypto history:
🥊 The Accusation: "Move to El Salvador"
In a fiery Senate Banking Committee hearing last week, Bessent didn't mince words. He accused a "nihilist group" of being "recalcitrant actors" who are intentionally stalling progress.
"If you want to operate in a world with no rules, move to El Salvador," Bessent quipped, suggesting that Coinbase’s "no bill vs. bad bill" stance is a bluff that’s holding the entire U.S. economy hostage
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🚩 The Coinbase Defense: "A Death Trap for Innovation"
Brian Armstrong isn't backing down. Coinbase argues the current Senate draft isn't just "regulation"—it’s a poison pill. Their main "deal-breakers" include:
The Yield Ban: The bill would effectively kill "stablecoin rewards," a massive revenue stream for Coinbase (estimated at $1B/year).
Tokenization Kill-Switch: Armstrong claims the bill creates a "de facto ban" on tokenizing equities (stocks on the blockchain). $RIVER
The Bank "Gift": Coinbase argues the bill was rewritten by banking lobbyists to ensure traditional banks keep control over deposits by making crypto yields illegal.
🏦 The Unholy Alliance: Banks + Crypto vs. Coinbase
In a plot twist few saw coming, Bessent noted that "banks and other crypto firms are united against Coinbase." * Why the Banks? They want to stop "deposit flight" into high-yield stablecoins. $POWER
Why other Crypto firms? Companies like Ripple have reportedly broken ranks, signaling they’d rather have this bill and fix it later than continue in the "regulatory desert" of SEC lawsuits.
