Coinbase Leaves Delaware for Texas in Major Corporate Move

Coinbase joins Tesla and other major companies in what experts call the “Dexit” movement – businesses leaving Delaware for more favorable states.

Coinbase Global Inc., America’s largest crypto exchange, announced on November 12, 2025, that it will move its corporate home from Delaware to Texas. The decision follows months of planning and marks a significant shift in the crypto industry’s corporate landscape.

The company’s board approved the move on October 29, 2025, with 78.4% of voting power supporting the change.

Why Coinbase Is Leaving Delaware

Chief Legal Officer Paul Grewal explained the move in a Wall Street Journal op-ed, stating that Delaware’s courts had become “rife with unpredictable outcomes.” He pointed to recent court decisions that created uncertainty for businesses and their leadership teams.

Delaware has long been the top choice for American companies. About 81% of new public companies chose Delaware in 2024. However, recent court rulings have made some businesses nervous about staying there.

Coinbase also cited financial reasons for the move. The company previously paid about $250,000 in Delaware franchise taxes, which it will no longer need to pay in Texas.

Source:@iampaulgrewal

The crypto exchange currently faces a lawsuit in Delaware with early investor Andreessen Horowitz. This legal challenge relates to share sales during Coinbase’s 2021 public listing.

Texas Builds a Crypto-Friendly Environment

Texas has actively worked to attract crypto companies through several key initiatives. The state’s approach goes far beyond just lower taxes.

Strategic Bitcoin Reserve

In June 2025, Texas became the first state to create a Strategic Bitcoin Reserve. Governor Greg Abbott signed Senate Bill 21, allowing the state to buy and hold Bitcoin with public funds.

The reserve only accepts cryptocurrencies worth at least $500 billion in market value over 24 months. Currently, only Bitcoin meets this requirement. The Texas Comptroller manages the fund, with help from crypto investment experts.

Mining Incentives

Texas offers unique benefits to Bitcoin miners through House Bill 591, passed in 2023. This law lets energy companies avoid severance taxes when they use waste gas for Bitcoin mining instead of burning it off.

The incentive helps the environment by reducing emissions while giving miners cheaper energy. Many large mining companies like Riot Platforms and MARA Holdings already operate in Texas.

Business-Friendly Laws

Texas recently passed Senate Bill 29 in May 2025, making major changes to help businesses. The new law:

• Lets companies require shareholders own at least 3% of stock before filing lawsuits

• Allows businesses to choose specific Texas courts for disputes

• Protects company leaders from personal liability in most cases

• Permits companies to avoid jury trials in business disputes

These changes make it harder for investors to file frivolous lawsuits against companies and their executives.

New Court System Challenges Delaware

Texas created specialized Business Courts in 2023 to handle complex corporate disputes. These courts focus specifically on business law, similar to Delaware’s famous Chancery Court.

The Texas Business Courts handle cases worth $5 million or more. Recent changes expanded their power to include intellectual property disputes and arbitration matters. The courts started operating in September 2024 with experienced judges.

This new system aims to provide faster, more predictable outcomes for business disputes. Companies can now specify in their bylaws that certain legal fights must happen in these specialized Texas courts.

What This Means for the Industry

Coinbase’s move sends a strong signal to other crypto companies. The decision comes as CEO Brian Armstrong has been actively supporting pro-crypto politicians and policies in Washington.

Texas offers several advantages beyond legal protections. The state has no income tax, cheaper operating costs, and a growing tech sector. Major companies like Meta and Google already have significant operations in Austin.

The move also aligns with Coinbase’s mission to increase economic freedom through cryptocurrency. Armstrong stated that Texas has “embraced crypto” and celebrates businesses that grow the economy.

Other states are watching Texas’s strategy closely. Several states have proposed their own Bitcoin reserve bills, though few have passed comprehensive crypto-friendly legislation like Texas.

The Bigger Picture

The reincorporation will not affect Coinbase’s daily operations, offices, or stock trading. The company will keep its Nasdaq listing under the “COIN” symbol. However, it will now follow Texas corporate law instead of Delaware law.

This change reflects broader trends in corporate America. Companies increasingly seek states that offer legal predictability and business-friendly policies. Nevada, Florida, and Texas have all gained corporate relocations in recent years.

For crypto companies specifically, regulatory clarity has become crucial. Recent battles with federal agencies have made many firms value state-level support even more.

The Lone Star State Leads

Coinbase’s move to Texas represents more than just a corporate address change. It signals confidence in a state that has systematically built the most crypto-friendly environment in America. With its Bitcoin reserve, mining incentives, protective business laws, and specialized courts, Texas has created a comprehensive package that other states will struggle to match. As more companies follow Coinbase’s lead, Texas may well become the new corporate capital of America’s digital economy.