Brain Armstrong firmly opposed SEC on the rumor of banning crypto staking.
Coinbase recently launched Ethereum staking, experts speculate aggressive crypto regulations ahead located in the USA.
The crypto space is always surrounded by ‘Possibilities’, possibilities of regulations or possibilities of the ban. This space has been through all of it. This time it has been disturbed by rumours of a ‘Possibility’ that the U.S Securities and Exchange Commission can ban cryptocurrency staking for retail customers.
Coinbase Global, US leading crypto exchange platform, recently announced Ethereum staking and hence took to Twitter for the rumours. Though Armstrong did not disclose the source of the rumour but firmly opposed stating it as an important innovation. "I hope that's not the case as I believe it would be a terrible path for the U.S. if that was allowed to happen," he expressed on Twitter this Wednesday.
Armstrong highlighted the crucial importance of staking in the cryptocurrency industry. Adding to the advantages, he further stated that staking allows investors the freedom to control their digital assets rather than other centralised entities. Focusing further on the advantages, he focused on the positive factors of staking that it escalates scalability, increased security, and reduced carbon footprints.
An attorney and XRP holder representative, directed towards the possibility of tighter regulation of the crypto sphere. The expert alerted that the commission is waging an all-out war against the crypto industry, and the regulator's head, Gary Gensler, is working hard on framing tighter regulations ahead. The White House released a roadmap on cryptocurrencies, the expert speculated that a final and most aggressive attempt to shut down the crypto sphere is about to take place.
It is important to note here that the market capitalization of the top four cryptocurrencies accounts for more than $55 billion. The nationwide ban is a major blow to the crypto industry in a country that has already witnessed huge migrations of crypto-related companies/investors.
Staking helps to earn rewards for holding specific cryptocurrencies. Hundreds of cryptocurrencies allow staking, but the largest is Ethereum, which is expected to be full proof of stake by 2022.
Staking contributes to the security and efficiency of the blockchain projects it supports. By committing a portion of the funds, makes the blockchain more resilient to attacks and enhances its ability to process transactions.
Thus, a win-win for the investors and technology, both!
Read more about staking methods- What are the various staking methods in Crypto HODLING.
