Coinbase Inc. could be losing its chief policy officer, according to Bloomberg reports. This news is coming when communication between Washington and the crypto sector is becoming vital to the survival of crypto companies.
Michael Lempres is leaving to take on a new role at Andreessen Horowitz. He became the firm’s policy officer in October after serving a year as its chief legal and risk officer. Andreessen Horowitz, a top venture capital firm in the United States, was an early investor in Coinbase.
“As chief legal and risk officer during a time of tremendous growth for Coinbase, Mike was instrumental in building the company’s legal and compliance functions and driving our vision of trust through compliance,” according to an email sent to Bloomberg News.
It’s unclear who will take the lead on policy as U.S. regulators decide how best to regulate the maturing market. Lempres moved to his policy role when the top U.S. cryptocurrency exchange brought on Brian Brooks to head its legal department. Brooks had taken over a lot of Lempres’ responsibilities when he first joined the firm.
U.S. Regulators Are Closely Monitoring The Crypto Market
Also, the U.S. regulators are looking into whether Bitcoin record-breaking rally last year was the result of market manipulation. The two companies raising money in 2017 through ICO were forced by regulators last week. They need to return funds to investors after failing to register their coin offering as securities.
The Securities and Exchange Commission’s settlement with Paragon Coin and CarrierEQ have raised concerns that regulators could get tougher on other crypto businesses too. Pressure is heightening on regulators to improve their oversight of cryptocurrency companies. That is happening due to the price crash in bitcoin and irregularities at some of the large trading platforms.
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