The number of people in the cryptocurrency ecosystem is expected to grow from 40 million to 1 billion within the next five years according to Brian Armstrong, CEO of cryptocurrency exchange Coinbase.
Speaking in an interview with TechCrunch, the Coinbase boss expects that the wide growth will be caused by an increase in the number of digital currencies. Commercial organizations will develop more tokens in the coming years and the new tokens would reportedly function together with equity as an alternative investment system.
To explain the process, Armstrong said,
“It makes sense that any company out there who has a cap table should have their own token. Every open source project, every charity, potentially every fund or these new types of decentralized organizations [and] apps, they’re all going to have their own tokens.”
He also mentioned that a “big open question”, that is, the issue of regulations for cryptocurrencies, will have to be solved in order for Coinbase and other crypto projects to reach new heights.
Coinbase Aims To Become A New York Stock Exchange For Cryptos
As mentioned in the report, the goal for Coinbase as revealed by Brian Armstrong is to become the equivalent of the New York Stock Exchange (NYSE) when it comes to trading cryptocurrencies. It is worth noting that even right now, the NYSE is a Coinbase investor.
“We want to be the bridge all over the world where people come and they take fiat currency and they can get it into these different cryptocurrencies,” he said.
Even though Coinbase supports only five digital currencies now, the Chief Executive Officer believes that sometime in the future, Coinbase will host hundreds of tokens and even potentially “millions”. This will include cryptocurrencies such Ripple XRP which has been labeled as securities because of its centralized nature.
In fact, Armstrong says that a “substantial subset of crypto tokens will be securities.” For this reason, the firm is chasing legal compliance so that it can provide a platform for investors to trade these tokens that are classified as securities.”
Coinbase is currently valued at over $1 billion and seems to have big ambitions for the future. Will the firm grow to become a bigger player in the cryptocurrency ecosystem?Never miss out on our daily crypto news, stories, tips, and price analysis. Join us on Twitter | Telegram | Facebook or subscribe to our weekly Newsletter.