The US and crypto, in recent weeks, have become hot topics of discussion among notable figures and expert analysts who evaluate the operational sustainability of US-based crypto exchanges. This is a result of the numerous crackdowns and regulatory scrutiny on crypto companies and exchanges operating within the shores of the US.
While popular exchanges such as Coinbase, and Gemini currently contemplate relocation of headquarters operations or even ceasing to operate in the US, these decisions could impact the industry’s growth as well as global crypto adoption.
Messari Founder Ryan Selkis in a recent post has aired his view on the ongoing crypto offshore movement situation.
Biggest Hub For Crypto Exchanges
Messari founder Ryan Selkis made a Twitter post on his official handle yesterday saying that the “US has the largest reserve currency and top software economy” in the world and that “people who say, ‘just move crypto offshore and build where it is friendly and accepted,’ are taking a costly short-term view.”
Related Reading: Newly Passed Texas Bill Will Boost Accountability Of Cryptocurrency Exchanges
Selkis also inferred that cryptocurrencies are more valuable and faster growing with a friendly US which may imply exchanges looking for alternative ways to manage the US-Crypto situation rather than totally shutting down operations.
Pro-XRP lawyer John Deaton agreed with the statements earlier made by the Messari founder. Deaton responded by saying that international borders are an illusion and even if one exchange tries to leave or avoid offering crypto services to US customers, regulatory agencies in the US can quickly establish jurisdiction through emailing and US bank wire.
US regulatory exchanges can claim there was an intent from exchanges to penetrate US customers via secondary sales. He then advised, as a solution, that crypto exchanges must fight back.
Agree
Plus, the international border is an illusion. Even if one tries to avoid offering to U.S. customers, U.S. agencies can easily establish jurisdiction (email, U.S.
wire) claiming there was an intent to reach U.S. customers via secondary sales. We must fight back. https://t.co/GY2vnPGTUo
— John E Deaton (@JohnEDeaton1) April 23, 2023
While the concerns of major crypto exchanges potentially leaving the US continue to brew, the Texas House of Representatives recently passed a bill that could serve as lighter regulation for crypto companies and exchanges operating within the state.
The bill, which promotes crypto user protection and accountability from exchanges, could be the solution to exploits by bad actors and an enabling environment for exchanges to thrive without unnecessary bottlenecks from regulators.
Crypto Markets Plunges Deep Amid US Crypto Regulatory Clarity
The cryptocurrency market is currently experiencing a decline at the same time at which crypto exchanges such as CoinBase and Gemini are considering moving out operations from the US due to unclear crypto regulations.
Bitcoin, the largest crypto by market capitalization, has dragged the markets with it as it dumped badly after a significant rally that saw it break above the $30,000 price region.
Related Reading: Volatile Week For Bitcoin And Crypto Ahead: Save These Dates
Crypto analysts and price experts continue to weigh in on the markets and draw inferences on how it reacts to potential moves and updates from US exchanges in the coming days and weeks.
As of writing, Bitcoin trades at $27,360 on globally recognized crypto exchanges.