Coinbase CEO Armstrong Pushes Back After WSJ Brands Him Wall Street’s ‘Enemy No. 1’

Coinbase CEO Brian Armstrong responded to a Wall Street Journal article, which called him “Enemy no. 1,” while Stripe CEO Patrick Collison defended his position.

• Brian Armstrong said his views on stablecoin rewards are driven by a belief in positive-sum capitalism, arguing that competition should be allowed to play out rather than be restricted by regulation.
• Patrick Collison said Armstrong’s position is not clearly in Coinbase’s financial interest, noting that banning yield sharing could make USDC more profitable for Coinbase in a first-order sense.
• The Wall Street Journal portrayed Armstrong as Wall Street’s “Enemy No. 1,” framing his clash with major banks as a fight over stablecoin rewards, deposits, and the future structure of finance.

Coinbase CEO Brian Armstrong pushed back after a Wall Street Journal article that dubbed him as Wall Street’s “Enemy No. 1”  on Sunday. He said that the growing clash between crypto firms and U.S. banks was about protecting consumer choice and competition. At the centre of this dispute is a key question: whether crypto companies should be allowed to offer yield-like rewards on stablecoins

On X, Stripe CEO Patrick Collison spoke in Armstrong’s support, replying to a Wall Street Journal article titled "The Crypto CEO Who’s Become Enemy No. 1 on Wall Street.” pointed out Armstrong’s clash with major banks as part of a broader fight over the future of finance and control of financial infrastructure.

He pointed to the ongoing dispute over stablecoin rewards, saying, “In a world where yield sharing is prohibited, USDC will at least in a first-order way be more directly profitable for Coinbase.” Collison framed Armstrong as someone whose “position stems from his belief in the importance of a vibrant and competitive market that protects consumer liberty”, rather than his own position of strength. 

Armstrong replied to Collison, saying he was aiming for the “best societal outcome” and views capitalism as “positive-sum”, where innovation benefits all participants. He added that some market players are trying to use government power to block competition, framing the financial system as zero-sum.

Coinbase (COIN), which was trading at $194.35, was down by 0.20% in the after-market hours. Coinbase closed at $194.74 on Friday. On Stocktwits, the retail sentiment around Coinbase remained in the ‘bullish’ territory, as the chatter level around it improved from ‘extremely high’ to ‘high’ over the past day. 

Coinbase's Growing Tensions With Banks

The Wall Street Journal article, published last week, described Armstrong as increasingly at odds with major U.S. banks, including JPMorgan Chase and Bank of America, over whether crypto firms should be allowed to offer yield-like rewards on stablecoins. Banks argue such payouts resemble interest on deposits and could draw funds away from traditional banking, while Armstrong has said banks should compete by offering better products.

The report said the dispute has become central to negotiations around the CLARITY Act, a proposed crypto market structure bill that could shape how stablecoins and consumer payouts are regulated. The White House is expected to host discussions between banking and crypto groups as lawmakers debate the bill’s next steps, although the date has not been decided yet. 

Collison said Armstrong’s position is not clearly in Coinbase’s direct financial interest. He noted that if yield sharing were banned, USD Coin (USDC), the company could become more profitable for Coinbase in a first-order sense, given its revenue-sharing partnership with Circle (CRCL). Collison said Armstrong’s stance appears rooted in a belief in competitive markets and consumer choice.

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