Texas is in the running for Wall Street 2.0, and Coinbase’s (NASDAQ:COIN) decision to move from Delaware to Texas is emblematic of the migration from less business-friendly jurisdictions to places like Texas and Florida.
Today, Coinbase made it official, stating they see “greener pastures” in the Lone Star state.
In a blog post, Coinbase reported that it has filed with the SEC to leave Delaware and reincorporate in Texas, “which has become an increasingly attractive hub for innovative companies like ours.”
Paul Grewal, Coinbase GC, said he was saddened to depart a state where he has long practiced, but Delaware has lost its reputation as a jurisdiction known for respect of corporate boards and quick legal decisions.
Coinbase CEO Brian Armstrong posted on X:
“Coinbase has always been about increasing economic freedom, and this factors into the state where we choose to incorporate. Texas has a strong culture of celebrating builders who are growing our economy, creating prosperity for all. They’ve also embraced crypto.”
Grewal also took to X, adding more details on the decision, stating that Delaware is facing serious competition from other states, and they are not the first company to make the change. Grewal added that the country is “returning to a free market economy.”
He also thanks Texas Governor Greg Abbott for creating a business-friendly environment.
In an Op-Ed on WSJ.com, Grewal added that Delaware had left them little choice and “part of a movement of businesses choosing markets with favorable regulatory and judicial-review systems.”
Wall Street South is a real thing. The Texas Stock Exchange, headquartered in Dallas, will launch in the coming months. Big investors include JP Morgan, Black Rock, Citadel and others.
As New York City, the global hub of finance, shifts to a city regime led by avowed Marxist Mayor Zohran Mamdami, you can expect others to look towards Texas, Florida, and Tennessee to locate someplace where commerce and freedom are valued.
Texas is already a Fintech hub with over 130 Fintechs located in Austin. Florida is home to around 600 Fintechs, with 500 located in Miami.