Coinbase CEO Brian Armstrong says he plans to make it the top financial service app in the world

Brian Armstrong said this week that Coinbase is building to dominate the entire finance industry, not just crypto. During the company’s earnings call on Thursday, the CEO told analysts that within five to ten years, he wants Coinbase to be the number one financial services app on the planet. Brian wants to take on retail, businesses, institutional clients, and developers. His bet? That everything people do with money will eventually happen on crypto rails. Brian said he’s not looking at what traditional finance has been. “We want to look forwards and skate to where this opportunity is going,” he said. He made it clear that Coinbase is still mainly focused on trading and payments, but that’s just the start. “Crypto is eating financial services,” he said. Brian believes asset classes like money market funds, securities, real estate, and debt are all moving on-chain. And he sees Coinbase as the platform that will power that change. Coinbase eyes banks as future clients, not enemies Right now, Coinbase serves both regular people and big players. On top of its core exchange, it has rolled out services like stablecoin payments, staking, and institutional custody. Brian said more than 200 major institutions use these features, including BlackRock, Stripe, and PayPal. The timing is no accident. Over the past two months, US regulators have started to ease up on crypto. The Office of the Comptroller of the Currency just gave the green light for banks it oversees to offer crypto services. That decision comes right after the Federal Reserve and the FDIC made similar moves, reversing warnings they gave out last year. With President Donald Trump back in the White House and regulatory pressure easing, Brian said old institutions are now racing to figure out how to plug into the space. Congress is also getting ready to pass legislation focused on stablecoins, which would clear the path for banks to offer more crypto-related products. In February, Brian Moynihan, CEO of Bank of America, said the bank could issue a stablecoin if regulation allows it. Brian said it’s only a matter of time. “We think that every major bank is going to be integrating crypto at some point,” he said. He explained that Coinbase can be the engine behind that. “For some of them, it’s a custodial solution. Others are interested in having a stablecoin solution.” He also said some banks want to make their own stablecoins, but he thinks that’s a bad idea. “Our view is that that’s not necessarily the best path because stablecoins have network effects,” Brian said. He added that for a stablecoin to really work, it needs to be usable across multiple institutions. That’s not possible if every bank tries to create its own version. Stablecoins are now Coinbase’s second biggest source of income after trading. In the first quarter of this year, stablecoin-related revenue went up 50% compared to the same time last year. From the last quarter alone, it increased by 32%. The growth came mainly from USDC, which Coinbase helped create. The company has a 50% revenue-sharing deal with Circle, the stablecoin’s issuer, and takes all the interest from USDC products on its platform. Brian said his “stretch goal” is for USDC to become the top stablecoin globally. Right now, Tether’s USDT holds that title. “If you can get shared economics, I don’t see why we wouldn’t see more of these banks partnering with USDC,” Brian said. He said even if banks don’t want to fully commit to USDC, they can still use Coinbase to support their back-end infrastructure. “Regardless, we at Coinbase can help power infrastructure for all these folks that are coming into the industry,” Brian said. Cryptopolitan Academy: Tired of market swings? Learn how DeFi can help you build steady passive income. Register Now Source: https://www.cryptopolitan.com/coinbase-ceo-brian-armstrong-says-he-plans-to-make-it-the-top-financial-service-app-in-the-world/