Coinbase CEO Brian Armstrong has tweeted that if crypto adoption continues, it could onboard over 2 billion people in the next decade. While crypto adoption and usability have been debated in the blockchain community, Armstrong argues that there is already a significant amount of usage beyond speculation. He highlights that crypto has about 2 to 300 million users who have at least looked into it in just a decade, which he describes as incredible.
According to Armstrong, the key factors that will unlock the potential for crypto adoption are the scalability provided by layer-2 solutions, regulatory clarity, and usability. However, the tweet was in response to a Twitter thread by @_blakewest, which discussed how crypto growth had been curbed by regulations.
Blake argues that crypto has been mocked and fought by regulators, hindering its growth potential. Blake gives examples of possible crypto use cases that could foster adoption, such as creating exchanges that comply with regulations connected to assets like real estate and loans. However, Blake notes that the regulatory rules in the US are extreme.
Blake also mentions that regulatory reporting would be cheaper autonomously on the chain, and stablecoins could be used for direct payments to merchants with zero card fees. However, the popular stablecoin Diem has been declared illegal.
In summary, crypto’s current slow adoption is due to regulatory issues, according to Blake. Armstrong argues that the scalability afforded by layer-2 solutions, regulatory clarity, and usability will unlock the potential for crypto adoption and onboard over 2 billion people in the next decade. However, regulatory rules in the US are still extreme and could hinder the realization of this potential.