Coinbase Move Sparks White House Crypto Clash

White House Threatens to Withdraw Crypto Bill Support Over Coinbase Dispute

• The White House may withdraw support for the crypto market structure bill if Coinbase does not resume negotiations with a yield agreement acceptable to banks.
• Coinbase’s decision to exit negotiations has angered the Trump administration, which views it as a “rug pull” against both the administration and the crypto industry.
• Coinbase CEO Brian Armstrong publicly opposed provisions in the bill, citing issues like a de facto ban on tokenized equities and prohibitions on DeFi.
• The disagreement comes ahead of a key Senate Banking Committee markup, impacting prior support for the legislation.

The White House is considering withdrawing its backing for new crypto legislation unless Coinbase agrees to terms favorable to banks. This follows Coinbase’s abrupt exit from negotiations, which has been criticized by the Trump administration as undermining industry efforts.