G20 in Brazil as the place for “global consensus” on crypto

Apparently, the upcoming G20 in Brazil could become the place of “global consensus” on crypto. 

Advocating for this challenge at present is the popular crypto-exchange Coinbase. 

G20 in Brazil as an opportunity for unified regulation for the crypto sector

There are those who argue that next year’s G20 to be held in Rio De Janeiro, Brazil, will be an opportunity to push unified regulation for the crypto sector. 

This is Coinbase, which described its intentions in trying to make this idea a reality. 

Today, 83% of G20 members and major financial hubs have made progress toward regulatory clarity for crypto. But the US is an outlier.

A picture paints a thousand words. https://t.co/DpxoKFr4yV pic.twitter.com/KvQ4q0zlsn

— Coinbase (@coinbase) September 7, 2023

Basically, the Nasdaq-listed crypto-exchange has put down the groundwork for a “global consensus” crypto strategy, calling it “Go Broad, Go Deep.” 

Coinbase says countries continue to compete to become cryptocurrency hubs and reap the economic and other competitive benefits of catering to digital asset holders around the world. 

And so while defining Europe as the leader in crypto regulation by way of the April 2023 MiCA, Coinbase also sees Canada, Brazil, Singapore and Australia as those countries where there is clarity on crypto. 

The G20 in Brazil and Coinbase’s strategy for crypto regulation

Coinbase’s international strategy, “Go Broad, Go Deep,” focuses on 24 countries, including G20 members, as well as Hong Kong, Switzerland, the United Arab Emirates and Singapore.

Something the US-based crypto-exchange itself fails to live up to in its own country, given the crackdown triggered by the Securities and Exchange Commission, or SEC, in the year 2023. 

In this particular case, Coinbase was sued by the SEC for alleged violations of securities laws in June.

This is its trigger for accelerating its international journey, seeking licenses for crypto companies from different countries. 

And indeed, at the time of writing, Coinbase has already obtained registrations in Ireland, the Netherlands and Italy, as well as provisional approval in Singapore and a license in Germany.

In any case, Coinbase has written its intentions as follows: 

“Working with G20 members and major financial hubs to help build consensus and create global standards for our industry. We will start keeping a scorecard on the regulatory progress with crypto in each of these countries and jurisdictions. 

Brazil taking the G20 chair in December 2023 presents a significant opportunity to maintain and help direct this momentum. Coinbase recently launched in Brazil as well as Canada, and our co-founder and CEO Brian Armstrong will visit both countries late this year to engage with key decision-makers and stakeholders, as we engage on the G20 agenda and strengthen our presence in the Americas.”

Technical problems with Ethereum’s Layer 2, Base

While Coinbase seems to have championed the challenge on global crypto regulation, its Layer 2 for Ethereum, Base, seems to have experienced technical problems. 

And indeed, recently, it appears that the Base blockchain launched by the US giant, received reports of problems with block validation, which caused a temporary network shutdown. 

Actually, as reported later, more than shutdown, it was a “delay” in block production, perhaps due to the need for an internal infrastructure upgrade. 

In any case, Base continues to expand, supporting new crypto assets, such as the recently added USD Coin stablecoin, and welcoming new DeFi projects, already attracting over $400 million in TVL.