Leading cryptocurrency firms are doing more to promote the industry’s growth by lobbying regulations to enhance the crypto space rather than stifle it. Coinbase, Fidelity, and Square are amongst the companies to form a crypto lobby group.
Coinbase, three others form a crypto lobby group
A group of leading cryptocurrency companies comprised of Fidelity Investments, Square, Coinbase, and Paradigm formed a crypto trade group. The group would be tasked with shaping the way Bitcoin and other cryptocurrencies are regulated in the United States and other parts of the world.
The group, called The Crypto Council for Innovation, will lobby policymakers to ensure regulations promote innovation in the cryptocurrency space. According to The Wall Street Journal report, the Crypto Council for Innovation will demonstrate the “transformational promise of crypto and communicate its benefits to policymakers, regulators, and people around the globe.”
Crypto venture capital firm Paradigm is one of the founding members of the council. Paradigm co-founder Fred Ehrsam told The Wall Street Journal that the cryptocurrency space is now at a mainstream inflection point.
He added that the crypto space is in its early stages, and similar to the internet, it is fragile in this stage. “It’s challenging because policymakers want to balance risk and reward, and even people who spend time in this space would struggle to predict where this will go in the coming decade. It was very hard to say where the internet was going to go,” Ehrsam added,
The Paradigm exec further revealed that the council intends to appoint a board that would include members from each of the four initial members. The council will also add an executive team, Ehrsam added.
Crypto space is rapidly growing
The creation of the Crypto Council for Innovation came at a time when the digital currency market is rapidly expanding. Coinbase is set to go public on the stock market in the next few days, while Fidelity filed for a Bitcoin ETF earlier this month.
Square is also a leader in the cryptocurrency space and has invested millions of dollars into the market in recent months. Blockchain technology and cryptocurrencies have massive potential to change the global economy. The lobby groups are there to ensure regulations don’t stifle the crypto industry’s growth.