Coinbase CEO to sell 2% of COIN shares to fund life extension and scientific research

Brian Armstrong, CEO of the second largest crypto exchange in the world Coinbaseannounced on Twitter that it would sell about 2% of its holdings in Coinbase to fund scientific research, sending the stock price plummeting amid an exodus of executives in the crypto industry.

amstrong tweeted Friday, “I am passionate about accelerating science and technology to help solve some of the world’s greatest challenges. Going further, I plan to sell about 2% of my Coinbase holdings over the next year to fund scientific research and companies like NewLimit + ResearchHub.

According Forbes, Armstrong owns around 19% of Coinbase shares, bringing his holdings to around $2.7 billion. That would make his scientific donations worth about $54 million.

NewLimit and ResearchHub are both funded by Armstrong, with the former dedicated to extending human life using “epigenetic reprogramming”, and the latter set up to reward “open sharing and discussion of research academic” through its own crypto token, ResearchCoin (RSC).

The CEO attempted to dispel any doubts about his belief in Coinbase or crypto, writing that he intends to be CEO of Coinbase “for a very long time” and that he is still “super bullish on crypto and Coinbase”.

“I’m completely dedicated to growing our business and advancing our mission, but I’m also excited to contribute in a different way,” he added.

Coinbase stock fell almost immediately after his tweet on Friday, falling from around $71 to the current price of $63.62, or almost 10%.

This follows the lackluster performance of Coinbase stock recently, which has barely moved from its $65-70 range since May. The stock is currently down 81% from its high of $342.98 last July.

Coinbase shares tend to trade in tandem with crypto prices and are often used as an indicator of investor confidence in the broader crypto industry.

Exodus of executives in the crypto industry

Investor jitters in Coinbase are likely compounded by the multiple CEOs who have left their roles in the crypto industry in recent months.

The list included Michael Moroformer CEO of crypto lender Genesis, and Sam Trabucothe co-CEO of Alameda Research, the hedge fund of crypto-billionaire Sam Bankman-Fried.

Last month, Jesse Powell, co-founder of crypto exchange Kraken, also resigned as the company’s CEO, and Brett Harrison, president of FTX US, announcement also his resignation.

Coinbase is the only major crypto exchange that has gone public in recent years, bowing to the whims of the stock market.

Stay up to date with crypto news, get daily updates in your inbox.

Comments are closed.