Amid regulatory debate, Coinbase creates cryptocurrency research center

Coinbase, the largest cryptocurrency exchange in the United States, is launching a global think tank to shape the political debate around cryptocurrencies as regulators and Congress debate the regulation of digital assets.

The Coinbase Institute will accelerate research on cryptocurrencies and Web3 – a decentralized version of the internet – and lead discussions with policymakers and academics on the intersection of technology and finance, said Hermine Wong, policy director at Coinbase and director of the institute.

The group did not list any specific policy goals it wants to defend, but said its goals include conducting research, establishing partnerships with academic institutions and building an in-house team to increase public knowledge of the cryptocurrency ecosystem.

“We are interested in all areas of research that involve the cryptocurrency economy and how interdisciplinary it is, how it is connected to our global economy and therefore there is nothing that is off limits,” she stated.

Regulators are getting closer to drafting new rules for the industry. Last week, the president of the International Organization of Securities Commissions said that global market regulators should launch a joint body next year to better coordinate cryptocurrency regulations.

The collapse of the stablecoin called TerraUSD has also prompted some officials, including US Treasury Secretary Janet Yellen, to urge lawmakers to create a new regulatory framework for cryptocurrencies.

Coinbase has increasingly tried to shape the regulation of cryptocurrencies. In October, the company published a proposed digital asset policy in which it suggested that Congress create a new regulator to oversee the industry.

In 2021 alone, Coinbase spent $785,000 on US lobbying efforts according to an analysis by Crypto Head.