Introduction:

Under the regulatory policy adjustments of the Trump administration, the U.S. crypto market is undergoing significant changes, and Coinbase, as a leading U.S. exchange, is experiencing a series of new developments. From the easing of the regulatory environment to the expansion of its business, Coinbase has been making frequent moves. In February, the Securities and Exchange Commission (SEC) withdrew its lawsuit against the company, marking a temporary end to the U.S. regulators' hardline enforcement in the crypto market. Meanwhile, at the White House Digital Assets Summit, Coinbase CEO Brian Armstrong enjoyed "VIP" treatment, further highlighting the company's lobbying influence in Washington.

White House Summit: Coinbase CEO Receives "VIP" Treatment and Plans to Hire 1,000 People in the U.S.

After Trump's re-election, the first White House Digital Assets Summit became a focal point for the crypto industry, and Coinbase CEO Brian Armstrong was undoubtedly one of the most prominent executives at the summit. As a representative of the crypto exchange, Armstrong sat in the fourth position from the left of Trump, demonstrating his influence among the summit attendees.

The day before the summit, Trump signed an executive order announcing the establishment of a strategic Bitcoin reserve and digital asset reserve. Armstrong subsequently told the media that he would be "absolutely" willing to act as a custodian for the government's crypto assets in the context of a national reserve, adding that the company has already collaborated with multiple government departments on crypto asset custody and trading.

Coinbase's performance has also been impressive. In 2024, its annual revenue more than doubled to $6.564 billion, with a net income of $2.6 billion. In the fourth quarter, revenue reached $2.27 billion, an 88% increase from the previous quarter. (Related reading: A detailed analysis of Coinbase's latest financial report: 2024 annual income nearly $6.6 billion, with Q4 achieving the largest quarterly revenue in three years)

After the White House summit, Armstrong tweeted that the event was a historic day, with the U.S. now possessing a strategic Bitcoin reserve and emerging regulatory clarity. This directly translates into economic growth for the U.S. Given this new growth, Coinbase plans to hire approximately 1,000 employees in the U.S. this year and continue building in the country to ensure that the U.S. maintains its leading position in technology and finance. As of 2024, Coinbase had 3,772 employees, and this expansion is expected to further consolidate its market position.

SEC Withdraws Lawsuit Against Coinbase, Removing the Biggest Regulatory Obstacle

Despite Coinbase's successful listing on Nasdaq in 2021, its development has been hindered by regulatory obstacles from the SEC in recent years. On March 22, 2023, Coinbase received a Wells notice from the SEC, indicating that the commission planned to take enforcement action against Coinbase's staking products. Coinbase responded by calling the investigation "hasty" and stated that it would continue normal operations. The following month, Coinbase sued the SEC, asking the federal court to compel the SEC to respond to its petition from the previous year, which requested clarity on cryptocurrency-related regulations.

In June 2023, the SEC announced a lawsuit against Coinbase, accusing it of acting as an unregistered broker, exchange, and clearing agency since 2019 and demanding that Coinbase "permanently cease" related operations. Additionally, the SEC accused Coinbase of failing to register its staking services in accordance with U.S. securities laws.

However, after the Trump administration took office, there were personnel changes in the SEC leadership. In February 2025, the SEC withdrew its lawsuit against Coinbase, ending the legal dispute between the two parties and removing many obstacles for Coinbase's future business development.

Coinbase Relaunches Tokenized COIN Stock Plan, Adjusts Listing Mechanism

Changes in the U.S. regulatory environment have brought new market opportunities for Coinbase. On March 6, market sources indicated that Coinbase is re-pushing the tokenization of its stock COIN as part of a broader effort to introduce security tokens into the U.S. market. The company first attempted this move in 2020 but abandoned it due to regulatory hurdles. With the establishment of the SEC's new cryptocurrency task force, Coinbase sees new opportunities to integrate blockchain-based securities into traditional finance. Coinbase CFO Alesia Haas expressed optimism about regulatory progress at a Morgan Stanley TMT conference.

Haas said, "I now believe that our U.S. regulators are seeking product innovation and want to move forward." Haas revealed that Coinbase initially planned to go public by issuing security tokens representing its COIN stock, consistent with its vision of integrating blockchain into traditional finance. Coinbase CEO Brian Armstrong emphasized the potential benefits of tokenized securities, stating that they could provide consumers with the ability to trade around the clock.

On March 10, according to an official announcement from Backed, the tokenized version of Coinbase stock $COIN, known as $wbCOIN, has been launched on the Base network. The token is 1:1 backed by $COIN stock, is freely transferable, and has a legal claim on the value of $COIN stock. However, Backed emphasized that it is not affiliated with Coinbase and is merely interested in the stock.

Meanwhile, Coinbase is adjusting its listing mechanism to adapt to the rapidly changing crypto market. CEO Brian Armstrong has proposed switching to a "blocklist" model, allowing users and automated scanning tools to filter out scam projects rather than pre-approving tokens.

Armstrong said that due to the sheer volume of new tokens—nearly a million per week—Coinbase's manual review process is no longer sustainable. "Evaluating each one individually is no longer feasible," he wrote, adding that even regulatory agencies cannot keep up with the pace of new asset growth. This mechanism is essentially similar to Twitter's "community notes" system but applied to the crypto industry.

Merger Rumors: Coinbase as a Potential Acquisition Target for Top Exchanges

In addition to business expansion and regulatory breakthroughs, Coinbase is also seen as a potential acquisition target by the market. On March 8, according to Barrons, Coinbase has become a viable acquisition target. If merged with a traditional exchange, it could create a company with both expertise and industry influence, thereby dominating the fragmented crypto market. Currently, Coinbase has a price-to-earnings ratio of about 22 times and a total market value of approximately $52 billion, but major U.S. exchanges have the capability to make this deal happen.

The parent company of the New York Stock Exchange—Intercontinental Exchange (ICE)—has a market value of $100 billion and a price-to-earnings ratio of 36 times. Its CEO, Jeffrey Sprecher, is married to Kelly Loeffler, a member of the Trump administration. The global futures trading giant CME Group has a market value of $93 billion and a price-to-earnings ratio of 26 times. Nasdaq, known for its technological strength and global network, has a market value of $47 billion and a price-to-earnings ratio of 41 times. If Coinbase could partner with a major U.S. exchange, it would open doors to power and market access that are currently out of reach. Major investors may push for a top exchange to acquire Coinbase, and the new company would be able to maximize investment returns as crypto moves from the financial frontier to the mainstream.

It appears that with the regulatory changes under the Trump administration's crypto policy, the regulatory environment for the crypto industry has undergone a dramatic shift, and Coinbase is a direct beneficiary of this change. The White House summit, the withdrawal of the SEC lawsuit, the relaunch of the tokenized stock plan, and potential merger rumors all suggest that this leading global crypto exchange may enter a new phase of growth, opening up a world of possibilities for its future development.

Introduction:

Under the regulatory policy adjustments of the Trump administration, the U.S. crypto market is undergoing significant changes, and Coinbase, as a leading U.S. exchange, is experiencing a series of new developments. From the easing of the regulatory environment to the expansion of its business, Coinbase has been making frequent moves. In February, the Securities and Exchange Commission (SEC) withdrew its lawsuit against the company, marking a temporary end to the U.S. regulators' hardline enforcement in the crypto market. Meanwhile, at the White House Digital Assets Summit, Coinbase CEO Brian Armstrong enjoyed "VIP" treatment, further highlighting the company's lobbying influence in Washington.

White House Summit: Coinbase CEO Receives "VIP" Treatment and Plans to Hire 1,000 People in the U.S.

After Trump's re-election, the first White House Digital Assets Summit became a focal point for the crypto industry, and Coinbase CEO Brian Armstrong was undoubtedly one of the most prominent executives at the summit. As a representative of the crypto exchange, Armstrong sat in the fourth position from the left of Trump, demonstrating his influence among the summit attendees.

The day before the summit, Trump signed an executive order announcing the establishment of a strategic Bitcoin reserve and digital asset reserve. Armstrong subsequently told the media that he would be "absolutely" willing to act as a custodian for the government's crypto assets in the context of a national reserve, adding that the company has already collaborated with multiple government departments on crypto asset custody and trading.

Coinbase's performance has also been impressive. In 2024, its annual revenue more than doubled to $6.564 billion, with a net income of $2.6 billion. In the fourth quarter, revenue reached $2.27 billion, an 88% increase from the previous quarter. (Related reading: A detailed analysis of Coinbase's latest financial report: 2024 annual income nearly $6.6 billion, with Q4 achieving the largest quarterly revenue in three years)

After the White House summit, Armstrong tweeted that the event was a historic day, with the U.S. now possessing a strategic Bitcoin reserve and emerging regulatory clarity. This directly translates into economic growth for the U.S. Given this new growth, Coinbase plans to hire approximately 1,000 employees in the U.S. this year and continue building in the country to ensure that the U.S. maintains its leading position in technology and finance. As of 2024, Coinbase had 3,772 employees, and this expansion is expected to further consolidate its market position.

SEC Withdraws Lawsuit Against Coinbase, Removing the Biggest Regulatory Obstacle

Despite Coinbase's successful listing on Nasdaq in 2021, its development has been hindered by regulatory obstacles from the SEC in recent years. On March 22, 2023, Coinbase received a Wells notice from the SEC, indicating that the commission planned to take enforcement action against Coinbase's staking products. Coinbase responded by calling the investigation "hasty" and stated that it would continue normal operations. The following month, Coinbase sued the SEC, asking the federal court to compel the SEC to respond to its petition from the previous year, which requested clarity on cryptocurrency-related regulations.

In June 2023, the SEC announced a lawsuit against Coinbase, accusing it of acting as an unregistered broker, exchange, and clearing agency since 2019 and demanding that Coinbase "permanently cease" related operations. Additionally, the SEC accused Coinbase of failing to register its staking services in accordance with U.S. securities laws.

However, after the Trump administration took office, there were personnel changes in the SEC leadership. In February 2025, the SEC withdrew its lawsuit against Coinbase, ending the legal dispute between the two parties and removing many obstacles for Coinbase's future business development.

Coinbase Relaunches Tokenized COIN Stock Plan, Adjusts Listing Mechanism

Changes in the U.S. regulatory environment have brought new market opportunities for Coinbase. On March 6, market sources indicated that Coinbase is re-pushing the tokenization of its stock COIN as part of a broader effort to introduce security tokens into the U.S. market. The company first attempted this move in 2020 but abandoned it due to regulatory hurdles. With the establishment of the SEC's new cryptocurrency task force, Coinbase sees new opportunities to integrate blockchain-based securities into traditional finance. Coinbase CFO Alesia Haas expressed optimism about regulatory progress at a Morgan Stanley TMT conference.

Haas said, "I now believe that our U.S. regulators are seeking product innovation and want to move forward." Haas revealed that Coinbase initially planned to go public by issuing security tokens representing its COIN stock, consistent with its vision of integrating blockchain into traditional finance. Coinbase CEO Brian Armstrong emphasized the potential benefits of tokenized securities, stating that they could provide consumers with the ability to trade around the clock.

On March 10, according to an official announcement from Backed, the tokenized version of Coinbase stock $COIN, known as $wbCOIN, has been launched on the Base network. The token is 1:1 backed by $COIN stock, is freely transferable, and has a legal claim on the value of $COIN stock. However, Backed emphasized that it is not affiliated with Coinbase and is merely interested in the stock.

Meanwhile, Coinbase is adjusting its listing mechanism to adapt to the rapidly changing crypto market. CEO Brian Armstrong has proposed switching to a "blocklist" model, allowing users and automated scanning tools to filter out scam projects rather than pre-approving tokens.

Armstrong said that due to the sheer volume of new tokens—nearly a million per week—Coinbase's manual review process is no longer sustainable. "Evaluating each one individually is no longer feasible," he wrote, adding that even regulatory agencies cannot keep up with the pace of new asset growth. This mechanism is essentially similar to Twitter's "community notes" system but applied to the crypto industry.

Merger Rumors: Coinbase as a Potential Acquisition Target for Top Exchanges

In addition to business expansion and regulatory breakthroughs, Coinbase is also seen as a potential acquisition target by the market. On March 8, according to Barrons, Coinbase has become a viable acquisition target. If merged with a traditional exchange, it could create a company with both expertise and industry influence, thereby dominating the fragmented crypto market. Currently, Coinbase has a price-to-earnings ratio of about 22 times and a total market value of approximately $52 billion, but major U.S. exchanges have the capability to make this deal happen.

The parent company of the New York Stock Exchange—Intercontinental Exchange (ICE)—has a market value of $100 billion and a price-to-earnings ratio of 36 times. Its CEO, Jeffrey Sprecher, is married to Kelly Loeffler, a member of the Trump administration. The global futures trading giant CME Group has a market value of $93 billion and a price-to-earnings ratio of 26 times. Nasdaq, known for its technological strength and global network, has a market value of $47 billion and a price-to-earnings ratio of 41 times. If Coinbase could partner with a major U.S. exchange, it would open doors to power and market access that are currently out of reach. Major investors may push for a top exchange to acquire Coinbase, and the new company would be able to maximize investment returns as crypto moves from the financial frontier to the mainstream.

It appears that with the regulatory changes under the Trump administration's crypto policy, the regulatory environment for the crypto industry has undergone a dramatic shift, and Coinbase is a direct beneficiary of this change. The White House summit, the withdrawal of the SEC lawsuit, the relaunch of the tokenized stock plan, and potential merger rumors all suggest that this leading global crypto exchange may enter a new phase of growth, opening up a world of possibilities for its future development.