Efforts by the European Union to tighten oversight of decentralized finance (DeFi) could drive crypto users toward platforms that offer fewer investor protections, according to Roeland Van der Stappen, Coinbase’s head of EU policy. He made the argument in an interview with Cointelegraph, published on 12 November 2026. He also said regulated platforms might respond by limiting or dropping access to DeFi services.
What the EU authorities have suggested
The comments follow September responses from two EU authorities to the European Commission’s consultation on the Markets in Crypto-Assets Regulation (MiCA). According to Cointelegraph, the European Securities and Markets Authority (ESMA) recommended creating a new category of regulated crypto services for firms that give customers access to DeFi protocols.
The European Banking Authority (EBA), also according to Cointelegraph, urged the Commission to study new rules for crypto lending and borrowing, including cases where regulated platforms give access to DeFi lending protocols. The outlet reports that the EBA listed suitability tests as one possible option.
Coinbase’s objections
Van der Stappen argued that extending suitability tests to other DeFi services could mean treating a simple stablecoin swap like leveraged lending, despite their different risks. He said lending, liquidity provision and on-chain swaps would be the most exposed activities.
He also said that restricting access through regulated platforms could split DeFi liquidity into smaller pools and leave EU users with worse prices. In his view, this could encourage isolated “walled gardens” and steer users to providers outside the EU with fewer safeguards. Coinbase’s alternative is to let crypto-asset service providers (CASPs) keep offering access with safeguards matched to the activity.
Data cited in the report
Cointelegraph cited a 2026 Adan-Ipsos survey in which 49% of French crypto buyers said they preferred accessing DeFi through exchanges, compared with 14% who favored personal wallets.
The outlet also pointed to a Chainalysis report that attributed a modest decline in crypto activity in Germany largely to falling decentralized exchange activity. Across the EU, crypto activity grew 2.2% in the 12 months through June 2026, according to the same report.
What remains unclear
It is not yet known whether the Commission will adopt any of the ESMA or EBA recommendations, and no timetable for new DeFi rules under MiCA has been reported. It is also unclear whether other industry players or regulators have responded to Coinbase’s position. The positions of ESMA and the EBA are described here as relayed by Cointelegraph, and the Coinbase arguments reflect the view of a company with commercial interests in how DeFi access is regulated.
Sources
- cointelegraph.com Cointelegraph — EU DeFi proposals could push users to riskier platforms, says Coinbase exec Accessed
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