Coinbase: US Crypto Developers Losing Market Dominance Despite Corporate Demand
Highlights
- Coinbase's State of Crypto report highlights major lack of talent pool for corporate onchain transition.
- U.S. has lost 14% of its share in global crypto developers since 2018.
- Among Fortune 500 executives, with 70% keen on stablecoin use cases for their efficiency
In its latest State of Crypto report, crypto exchange Coinbase that some of the biggest American firms have been planning a shift to onchain platforms. However, there’s a serious lack of a talent pool that can cater to this shift, notes Coinbase.
US Losing Ground In Crypto Development
Citing the State of Crypto report, Coinbase Chief Legal Officer Paul Grewal stated that the US has lost nearly 14% of its share in the last five years since 2018. Thus, it now accounts for only 26% of the global total share of crypto developers.
Grewal further stated that the corporate adoption of crypto and onchain activity would continue to grow, while the US risks losing its position of being the global leader in technological innovation. Thus, Grewal has urged the US government to take decisive action by improving its stance on crypto development.
“Global leadership in technological innovation is ours to lose, but the U.S. government has to want – and choose – to do better,” he said.
A Look Into the State of Crypto Report
In its State of Crypto report, Coinbase mentioned that during the first quarter of 2024, the Fortune 100 companies announced a record number of crypto, blockchain, and Web3 initiatives. However, the major barrier was the lack of trusted talent and the right skills.
Nearly 50% of the executives in Fortune 100 companies said that the absence of skilled talent was the primary obstacle to adopting onchain technology. Moreover, the declining share of US crypto developers is adding to further woes. As of now, only one in four crypto developers belong to the US, dropping by 14% over the past five years.
However, despite this, the interest in blockchain tech remains high. A staggering 70% of Fortune 500 executives showed a deep interest in learning about stablecoin use cases. The reason is the instant processing times and lower fees offered by stablecoins.
Similarly, small businesses are increasingly attracted to digital assets due to their ability to address financial pain points by providing faster and cheaper payment solutions.
Lawmakers have come in support of the Coinbase report stating that the US needs to do a course correction sooner. Wyoming Senator Cynthia Lummis wrote:
“The Biden admin and Gary Gensler’s unrelenting persecution of Bitcoin and digital assets is pushing the industry overseas and causing America to fall behind. We are the global leader in financial innovation. Let’s act like it and provide the industry a home”.
- Polymarket Founder Shayne Coplan Teases Potential POLY Token After $2B ICE Deal
- FOMC Minutes Signal Fed Open to More Rate Cuts This Year, Bitcoin Bounces
- North Dakota To Issue ‘Roughrider’ Stablecoin Following Wyoming’s Footsteps
- Ethena Labs and Jupiter Partner to Launch JupUSD Stablecoin on Solana
- BlackRock’s Bitcoin ETF Leads ETFs With $3.5B Weekly Inflows as It Eyes $100B in AUM
- Bitcoin Price Prediction as US Govt. Shutdown Extends- What’s Next for BTC?
- Solana Price Megaphone Points to a Parabolic Move as SOL Treasuries Near $3B
- XRP Price Prediction Amid ETF Approval Roadblock as Analyst Warns of $2.72 Dip
- Binance Coin Price Prediction If It Surpasses Bitcoin Marketcap— Is $3000 Possible in 2025?
- ASTER vs HYPE Price Analysis – Which Perp DEX Token Looks Poised to Dominate Q4 Performance?
- Ethereum Price Could Soar to $6,500 as BlackRock’s ETF Nears $20B Milestone
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
