Coinbase CEO Backs Tokenizing Shares, Says He Wants More Shareholders
Summary
- Coinbase CEO Brian Armstrong said he supports tokenization of the company’s stock and wants more people to own Coinbase shares.
- Armstrong said excluding a potential new shareholder base is a bad business decision and that companies should go where their customers are.
- As OKXICE, a joint platform backed by OKX and ICE, prepares tokenized trading of US stocks, many listed companies including Apple and Tesla have objected, while Coinbase is not on the list of opponents.
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Coinbase Chief Executive Officer Brian Armstrong said he supports tokenizing the company’s shares.
In a post on X on Nov. 6, Armstrong wrote that the reason is simple.
As the CEO of a publicly traded company, he wants more people to own Coinbase stock.
Excluding a potential new shareholder base is a bad business decision, he added. Companies should go where their customers are.
Stock tokenization refers to turning shares into tokens that can be traded on a blockchain. OKXICE, a joint platform formed by crypto exchange OKX and Intercontinental Exchange Inc., the parent of the New York Stock Exchange, is preparing tokenized trading of US stocks.
Still, opposition to stock tokenization among major listed companies has been strong. According to an updated OKXICE notice released on Nov. 5, 67 companies, including Apple, Tesla, Nvidia and Meta, were listed as objecting.
Of the 62 companies initially named as candidates for trading, 56 raised objections, or about 90.3%.
Among the initial candidates, the six companies not included on the disclosed list of objectors were Coinbase, Strategy, Circle, Robinhood, Securitize and BitGo.
Doohyun Hwang
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