Coinbase CEO Brian Armstrong recently discussed the growing interest in meme coins on X (formerly Twitter), stating that while he has only dabbled in test trades, he does not actively trade meme coins.

Armstrong believes that meme coins could potentially find wider utility as the market progresses. Drawing comparisons to early internet trends like animated GIFs, he suggested that what may seem frivolous now could become more valuable in the future.

He pointed out that even Bitcoin and the US dollar could be considered meme coins in a sense, and envisioned a future where everything, from posts and images to votes and asset classes, could be tokenized and shifted on-chain. This evolution could lead to unforeseen new applications for meme coins, Armstrong posited.

While acknowledging the negative aspects of the meme coin space, such as insider trading highlighted by the LIBRA token controversy, Armstrong stressed the importance of abiding by legal and ethical standards to avoid severe repercussions in this volatile market.

Regarding Coinbase's stance on meme coins, Armstrong emphasized the platform's commitment to allowing customers to make their own choices within legal boundaries, while also providing accurate information to aid decision-making. The exchange aims to weed out fraudulent tokens while permitting low-quality coins based on user feedback and reviews.

Speculation arose within the X community about Coinbase potentially launching a meme coin called FROC after a project manager shared a tutorial involving the token. While no official endorsement from Coinbase has been issued, the teaser video sparked curiosity among users, who drew parallels to similar experiences involving other cryptocurrency exchanges like Binance.