Brian Armstrong, CEO of Coinbase (COIN), one of the largest crypto exchanges in the world, has spoken out on the FTX (FTT) debacle, assuring users and investors that the company has no “material exposure” to FTX, its native FTT token, or Alameda Research.
Armstrong further used the opportunity to call out FTX’s actions, calling them “risky business practices”, which he believes included “conflicts of interest between deeply intertwined entities, and misuse of customer funds (lending user assets)”.
Armstrong was sure to emphasize that part of the problem leading to FTX’s implosion is that “regulators have been focused onshore”, while customers chose, in turn, to move their funds to exchanges with “opaque and risky business practices”.
“To take the U.S. as an example, 95%+ of crypto trading has developed overseas because crypto regulation in the US has been hard to navigate. That’s bad for the US and...
