Coinbase CEO: US ban on stablecoin interest would harm competitiveness

Coinbase CEO Brian Armstrong warned on X that a U.S. policy banning or restricting interest payments on stablecoins would severely damage their competitiveness. He contrasted this with China, noting that the People's Bank of China has issued guidance allowing interest payments on its central bank digital currency (CBDC) wallets. Armstrong suggested that China likely made this decision because it benefits ordinary citizens and creates a competitive advantage. He criticized the U.S. approach, arguing that its competitiveness will be significantly impacted if the current policy stance is maintained and that the market should be left to regulate itself.