Armstrong: On-chain IPOs would lower costs, boost access for private firms

Coinbase CEO Brian Armstrong argued on X that conducting initial public offerings (IPOs) for private companies on-chain would dramatically reduce costs and increase accessibility. He expressed hope that such a future will be realized soon, adding that the fundraising process for private companies needs to be much easier. Armstrong noted that while there is immense demand for the IPOs of some large private companies, tightening regulations are creating negative side effects. He explained that the current structure often forces good companies to remain private for longer, allowing private and credit investors to capture most of the benefits. Consequently, when these companies finally go public, their stock performance is often poor due to a lack of early-stage liquidity to support a proper valuation.