Coinbase Ditches Delaware For Texas Over Legal Predictability Concerns – ‘It’s A Shame That It Has Come To This’

Coinbase (COIN), the largest U.S.-based cryptocurrency exchange, announced on Wednesday that it is leaving Delaware and reincorporating in Texas.

In a post on X, the company simply announced that, “Bye Delaware, Hi Texas.” However, a more detailed op-ed by the company’s chief legal officer, Paul Grewal, in The Wall Street Journal hinted at a deeper divide.

He cited “unpredictable outcomes” in Delaware’s Chancery Court as the primary reason for the move. Grewal said Texas offers a more predictable legal environment and greater governance flexibility.

COIN’s stock gained more than 2% in the pre-market trade, with retail sentiment on Stocktwits trending in ‘bullish’ territory amid ‘normal’ levels of chatter over the past day. 

“It’s a shame that it has come to this, but Delaware has left us with little choice.” 

– Paul Grewal, Chief Legal Officer, Coinbase

Get updates to this developing story directly on Stocktwits.

Read also: CoreWeave Stock Slides After Guidance Cut — But Retail Traders Sniff ‘Generational’ Buying Opportunity

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Share

·

Add us on