Coinbase CEO Brian Armstrong says a nascent crypto sector could mirror the explosive growth of stablecoins, calling the opportunity “huge” as blockchain technology continues to reduce friction in global markets.
In a new discussion hosted by Goldman Sachs, Armstrong points to the rise of stablecoins as a case study.
He notes that while early critics questioned the need for a digital dollar, demand surged as people in high-inflation countries sought access to dollar-denominated assets. Stablecoins also streamlined payments for trading, cross-border and business-to-business transactions, helping drive roughly $30 trillion in stablecoin payment volume over the past year.
Armstrong said he believes a similar transformation could occur in equities through tokenized stocks. Under that model, traditional shares held by custodians could be mirrored by on-chain tokens, potentially expanding access to global investors who currently lack brokerage accounts.
He highlighted several advantages, including 24/7 trading, fractional ownership and the ability to experiment with new market structures already common in crypto, such as perpetual futures. Armstrong also pointed to programmable governance features as a potential innovation, such as restricting shareholder voting rights to long-term holders through smart contracts.
While he said it remains unclear exactly how tokenized equities will develop, Armstrong argued that crypto’s ability to reduce friction and enable experimentation could accelerate adoption, much like it did with stablecoins.
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