Coinbase Faces Challenge as New Token Creation Soars Weekly  

• Coinbase plans to replace token approval with automated reviews and blocklists to handle increasing token creation. 
• Trump’s executive order promotes crypto adoption by protecting miners and banning Federal Reserve-issued digital currencies. 
• Bitcoin surpasses $109,000 following Trump’s re-election and new pro-crypto policies in the U.S. 

Coinbase, the largest cryptocurrency exchange in the U.S., is facing mounting pressure as token creation accelerates. CEO Brian Armstrong revealed that nearly one million new tokens are created weekly, making the traditional review process untenable. Speaking on X (formerly Twitter), Armstrong described the challenge as a “high-quality problem” but emphasized the need for systemic changes. 

Coinbase historically reviewed tokens individually for listing but is now considering a shift to a blocklist approach. Armstrong proposed integrating automated on-chain data scans and customer reviews to identify and manage potential risks. He noted that regulators must acknowledge the impracticality of reviewing every token individually, advocating for streamlined processes to accommodate the rapidly growing market. 

Integration with Decentralized Exchanges Intensifies

To address evolving market demands, Coinbase plans deeper integration with decentralized exchanges (DEX). This move aims to provide seamless trading experiences, eliminating the need for users to distinguish between centralized and decentralized platforms. Armstrong highlighted that improving accessibility to DEX capabilities aligns with Coinbase’s broader strategy of fostering inclusivity in cryptocurrency trading. 

Bitcoin Surges Higher As Trump Goes Cryptofriendly Again. 

The price of Bitcoin rose to over $109,000 last week, a 50% rise since November. This rally came at the same time as Donald Trump’s comeback to the presidency and his efforts to advance cryptocurrencies. Mr. Trump issued an executive order that focuses on the enhancement of digital asset technology, identifying the usage of Fthe ed’s digital currencies as unlawful, and offering legal cover for Bitcoin miners and developers. 

The order also facilitated the use of stablecoins and solved the issue of regulation concerning institutional crypto investment. The SEC and the Treasury have been given the responsibility of developing a structure to regulate digital assets. 

Donald Trump and his wife Melania Trump released meme coins for the inauguration weekend; people had varying opinions. While some traders found the move interesting others expressed concerns that it was a speculative move. Trump’s administration has of late suggested that the US should build a Bitcoin reserve, a move that critics say is risky given Bitcoin’s price fluctuations. 

Regulatory Changes Enhance Institutional Adoption 

For the first time, the SEC revoked an accounting principle that required banks to report cryptocurrencies as liabilities. This is after Trump signed an executive order that is expected to increase institutional uptake of the cryptocurrency market. It reflects the administration’s strategic intent to build the United States of America as a world power in digital currency technology.