Coinbase CEO calls for crypto listing reform as 1 million tokens flood market weekly
Coinbase CEO Brian Armstrong has called for an overhaul of the token listing process, citing the explosive growth of cryptocurrencies and the limits of traditional evaluation methods.
His comments, made in a Jan. 26 social media post, come as the industry grapples with an unprecedented influx of new tokens driven by blockchain innovation and the rise of platforms allowing people to launch new tokens without technical knowledge at the click of a button.
Armstrongs statements highlight the tension between rapid innovation in the crypto industry and the capacity of existing systems to manage the surge in activity. Analysts note that the rise of tools like token generators and no-code blockchain solutions has contributed to the proliferation of digital assets.
Overwhelming the system
Armstrong revealed that approximately 1 million new tokens are created each week, overwhelming the current system, which relies on centralized approval processes to assess each asset individually.
The Coinbase CEO noted:
This is a high-quality problem to have, but evaluating each one by one is no longer feasible.
He proposed shifting to a block-list system that assumes tokens are accessible by default unless flagged as harmful. The approach would rely on a combination of user feedback and automated on-chain data scans to identify potential risks. Armstrong argued this system would empower users while making the ecosystem more scalable.
He also urged regulators to adapt their frameworks, pointing out that existing token approval processes are insufficient to meet the demands of todays rapidly growing crypto landscape. He called for innovation in regulatory approaches to keep pace with technological advancements.
According to Armstrong:
Regulators and the industry must recognize that the scale of crypto innovation cannot be managed with outdated systems.
He added that both public and private sectors need to collaborate on solutions that protect investors while fostering innovation.
Decentralization and User Experience
In addition to his comments on token listings, Armstrong reiterated Coinbases plans to integrate decentralized exchange (DEX) support more deeply into its platform.
By streamlining access to both centralized (CEX) and decentralized (DEX) trading options, Coinbase aims to deliver a seamless experience that eliminates the need for users to distinguish between the two.
Armstrong said:
Our goal is to make decentralized trading as accessible and intuitive as centralized platforms, ensuring users can engage with the blockchain ecosystem effortlessly.
With Coinbases market position as one of the largest crypto exchanges globally, its approach could set the tone for how the industry navigates these challenges. Armstrongs remarks also signal the platforms commitment to transparency, decentralization, security, and user empowerment in an era of accelerating blockchain development.
The post Coinbase CEO calls for crypto listing reform as 1 million tokens flood market weekly appeared first on CryptoSlate.
Text source: CryptoSlate
