Coinbase is urging the U.S. government to modernize cryptocurrency regulations to enhance financial crime prevention and foster innovation. Chief Legal Officer Paul Grewal proposed four key updates, including a 'safe harbor' for AI in anti-money laundering (AML) efforts, API guidance, revised customer ID rules utilizing decentralized tools, and enhanced blockchain transaction screening. Chief Policy Officer Faryar Shirzad highlighted the importance of digital tools for compliance and national security. In a related development, crypto and fintech organizations have called on the Consumer Financial Protection Bureau (CFPB) to maintain open banking rules. They argue that restricting consumer data access could undermine the U.S.'s competitive edge in the global financial landscape.