Video of a 2012 fundraising pitch by the CEO of a compliant platform exposed: From obscurity to the largest Bitcoin exchange in the US

Early Vision

A video shows the CEO of a compliance platform rehearsing his fundraising pitch in 2012, years before the company became the largest Bitcoin exchange in the US.

In the recording, Armstrong lays out a simple argument: Bitcoin is a digital currency that can transfer funds instantly anywhere in the world. But it’s hard to use. The tools are clunky, backups are difficult, and users can easily lose their funds.

He said the compliance platform would solve this problem. The platform would serve as a custodial wallet, allowing anyone to access their funds from any device without worrying about security or backup issues.

Armstrong compared his plan to what iTunes did for music. He highlighted early growth: registrations and transactions were increasing by “20%” daily, and the platform processed $65,000 in Bitcoin payments in just five weeks.

The pitch was brief, under three minutes, and candid. Armstrong discussed fees, competition, and the potential of Bitcoin as a global payment system. It offered a glimpse into the early vision of a company few outside the crypto world had heard of.

Growing Into a Crypto Giant

It’s fair to say Armstrong’s idea succeeded. Over a decade later, the compliance platform is the top exchange in the US, handling billions of dollars in Bitcoin trades and shaping how Americans interact with digital assets.

That 2012 rehearsal captured the first signs of the company’s growth into a crypto giant.

A Warning to Traditional Finance

Yesterday, Armstrong sat down with top financial institution CEO Larry Fink and stated that all major US banks ignoring stablecoins risk being “left behind.”

Speaking at the New York Times DealBook Summit, Armstrong said several top banks are running pilot projects with the compliance platform on stablecoins, crypto asset custody, and trading.

Armstrong acknowledged divisions within traditional finance: lobbying arms of some institutions resist crypto, while innovation teams are exploring it.

“It’s the classic innovator’s dilemma,” he said, noting that banks must choose between embracing or fighting new technology. On concerns about capital flowing into stablecoins, Armstrong said banks are mainly focused on protecting their profit margins.

Fink, once a Bitcoin skeptic, now believes Bitcoin has a “huge use case” and worries that the US is lagging behind in stablecoin innovation.

Armstrong has been promoting crypto to the US government. He has lobbied and pushed for clearer regulation of the crypto industry.

Armstrong has supported bills like the CLARITY Act to establish legal clarity. He has launched grassroots efforts, including Stand With Crypto. He has also spent millions through political action committees (PACs) on advocacy.