The 10-Square-Mile Fallacy: Why Coinbase's Sandbox Proposal Is Regulatory Arbitrage, Not Innovation Policy"

Policy", "article": "The 10-Square-Mile Fallacy: Why Coinbase's Sandbox Proposal Is Regulatory Arbitrage, Not Innovation Policy\n\nThe most revealing detail in Brian Armstrong's latest policy missive isn't the rhetoric about competition. It's the geometry. Ten square miles of federal land. A bounded patch of US territory where licensing gets faster, rules get looser, and experimentation gets permission to happen.\n\nThink about what that is. A border drawing. A boundary line. For an industry whose entire technological premise is the elimination of geographic friction, the most powerful CEO in American crypto is asking the government for a delimited zone where the rules change.\n\nThat is a confession hiding inside a proposal.\n\nArmstrong calls it an innovation sandbox. Pilot faster approvals. Relax the regulatory burden inside a defined area. Evaluate. Then scale. The UK's Financial Conduct Authority built the first major financial sandbox in 2016. Singapore's MAS followed. Hong Kong has its own version. The tool is not novel.\n\n