Coinbase Could Shut Down Ethereum Staking Due To Regulatory Risks, CEO Says

Coinbase CEO Brian Armstrong will likely opt to shut down Ethereum (ETH) staking rather than comply with OFAC’s requirements to censor the blockchain.

While decentralization attempts to make Ethereum censorship-resistant, Coinbase is estimated to hold a 15% market share in ETH assets. Being that Coinbase owns such a large share, the company has the potential to assist in censorship of Ethereum’s base-layer protocol.

Blockchain enthusiasts and Ethereum supporters dread this threat.

The censoring conversation stems from the recent sanctions on Tornado Cash, a digital asset mixing service built on Ethereum’s blockchain. While many use the application for privacy matters, it’s also used by hackers to wash cryptocurrencies, making them …

Full story available on Benzinga.com

By

Leave a Reply

Your email address will not be published. Required fields are marked *