The United States’ largest cryptocurrency exchange, Coinbase, faces severe difficulties managing the record number of new tokens emerging weekly.
CEO Brian Armstrong used X (formerly Twitter) to highlight the situation while calling it a “high-quality problem, ” creating challenges for their standard token review process.
Token creation hits record highs
According to Armstrong, the platform launches approximately one million tokens at an accelerated rate every week. He noted that the dynamic nature of the market makes current token review approaches inadequate for Coinbase. The current regulatory processes responsible for token approvals are struggling to keep pace, thus making the process “totally infeasible” for every token.
Instead of ongoing “allow list” approvals of each token, the company would evolve toward using a “block list” system to identify and block dangerous tokens. According to Armstrong, employees can determine trusted options through customer feedback analysis, automated data scanning techniques, and on-chain metrics. DEX support integration is a top priority for deeper platform development because customers should be able to trade through both DEX and centralized exchange (CEX) platforms without experiencing any interface distinction.
The crypto market thrives under Trump’s pro-crypto policies
The crypto market surged after Trump’s re-election and his announcements on new policy directions. The cryptocurrency Bitcoin has broken past $109,000 in value, which represents a 50% increase from the November market. After Trump executed an order promoting digital asset adoption across the United States, his leadership sparked this quick market expansion.
The order mandated support for Bitcoin miners and established stablecoins linked to the dollar while they actively worked to prevent the central bank from developing its own digital currency. The crypto space witnessed excitement and debate from the recent weekend release by Donald Trump and Melania Trump of their meme coins.
Executive order sparks mixed reactions
Through an executive order, Trump directed regulatory agencies, including the SEC, Treasury, and CFTC, to collaborate and develop rules governing digital assets. The policy revised an accounting standard that classified crypto holdings as bank liabilities, making them more accessible to institutional investors.
Multiple crypto industry supporters have reacted favorably to these new policy developments. Industry veteran Bill Gurley named the current advancements a historical game-changer for crypto. Departments have expressed reservations about managing a US Bitcoin reserve due to cryptocurrency’s market fluctuations. Coinbase and the broader market face these fast-moving industry changes as the new administration sustains the rising momentum behind crypto innovation.