Coinbase CEO Brian Armstrong highlighted a major shift in how traditional finance views digital assets following the World Economic Forum in Davos. According to Armstrong, at least one top executive at a leading global bank described crypto as both a “number one priority” and an “existential” threat to their business model.
Armstrong’s insights underscore that large banks are no longer passive observers. With stablecoins and tokenized assets gaining momentum, financial institutions recognize the potential for disintermediation, where fintech firms or global asset managers could bypass banks entirely, providing direct access to tokenized securities or instant stablecoin transfers. He stressed that tokenization of equities, credit, and other assets is reshaping the competitive landscape, potentially reaching the estimated 4 billion unbanked adults worldwide.
Armstrong highlighted the Trump administration’s backing of digital asset legislation, including the CLARITY Act, describing it as the most crypto-forward government globally. Clear regulatory frameworks are seen as essential for the U.S. to remain competitive against countries investing heavily in crypto infrastructure, including stablecoins.
AI and crypto were among the most discussed topics at Davos. Armstrong predicted that AI-driven payment agents will increasingly rely on stablecoins, enabling payments outside traditional banking rails and bypassing identity checks.
Armstrong’s message makes clear that for top banks, crypto is no longer experimental—it is a strategic priority that could determine long-term survival in an increasingly tokenized and AI-integrated financial ecosystem.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.