🚨U.S. Treasury Secretary Scott Bessent publicly called out Coinbase on Fox News, labeling them as "stubborn radicals" and claiming they hindered Trump's big crypto plans.

Why did the two giants suddenly clash?
Let me dig into the inside story ✍️
2/ First, the background: Who is Scott Bessent?
He is the new Treasury Secretary under the Trump administration, super pro-crypto! He promotes Trump's "Crypto Agenda," including building a national Bitcoin reserve to make the U.S. the global crypto capital.
The key piece of legislation is the CLARITY ACT—a digital asset regulation bill aimed at setting rules for the crypto market, providing "clarity" so everyone knows how to operate legally.
3/ This bill sounds good; it regulates market structure, DeFi (decentralized finance), stablecoins (like USDC digital dollars), and more.
Bessent says the bill must pass, or America's crypto dreams are doomed.
He went full throttle in interviews: opponents are "nihilists," suggesting they should go to El Salvador (which is Bitcoin paradise). The pressure is intense!
4/ Now, shifting to Coinbase.
As the largest crypto exchange in the U.S., CEO Brian Armstrong initially supported this bill.
But recently, they suddenly withdrew support!
Armstrong tweeted, "I'd rather have no bill than a bad bill." Why the flip? The core issue is conflicts of interest, especially regarding stablecoin profits.
5/ Explaining stablecoin profits: simply put, users deposit money into Coinbase's stablecoins (like USDC), and the platform pays interest. This move is super attractive, trying to steal users from traditional banks.
But the CLARITY ACT might ban non-bank institutions (like Coinbase) from paying such interest, leaving only banks to do so. This effectively cuts Coinbase out of the cake, directly threatening their business!
6/ There's also the issue of DeFi and token definitions: Coinbase worries the bill might be too strict, treating more crypto tokens as "securities," increasing compliance costs.
Worse, it could make it easier for banks to enter crypto custody, stealing Coinbase's market share. Armstrong personally lobbied Congress to keep these features, but was unsuccessful.
7/ So, the conflict exploded: Bessent thinks Coinbase is selfish, blocking the entire industry’s progress, and says, "This is Trump’s bill, not Brian Armstrong’s."
The White House reportedly blew up, calling Coinbase’s withdrawal of support a "rug pull."
Now, the bill is stuck in the Senate; on February 10, the White House and banks will meet to discuss, possibly sacrificing stablecoin profits to get it passed.
8/ This reflects a deep split in the crypto world: the government and banks want to mainstream crypto through regulation to attract big funds.
But platforms like Coinbase fear regulation favors traditional giants, destroying the decentralization spirit.
Result? Industry infighting, bill delays, everyone loses.
9/ My take:
This fight is fundamentally a battle for money and power.
In the short term, Coinbase faces pressure, but in the long run, it might push out a better version of the bill.
Crypto policy is always so dramatic, haha!
Who do you support?
Support Bessent’s clear regulation,
or Coinbase’s "better no bill than a bad one"?
The future of crypto is a battle in Washington, and we retail investors are just here watching the show. #Coinbase