The recent Election Day was a game-changer for the crypto industry, and no one benefited more than Coinbase’s CEO, Brian Armstrong. On Wednesday, Coinbase shares soared by an unprecedented 31% as investors rallied around the company’s successful push to elect pro-crypto candidates. Fairshake, a Coinbase-supported political action committee, reported that out of the 58 candidates it endorsed, 46 won, with the results for 12 races still pending.
Armstrong, who co-founded Coinbase in 2012 and led it to a public listing in 2021, holds the largest individual stake in the crypto exchange, controlling more than 10% of outstanding shares. According to the company’s latest filings, Armstrong owned 34.8 million Class A and Class B shares, an investment whose value jumped by approximately $2.1 billion on Wednesday, reaching nearly $9 billion. Meanwhile, Bitcoin surged over 9.5% to a historic high of over $76,400. When asked for further details, a Coinbase spokesperson declined to comment.
As Armstrong navigates Coinbase through a challenging regulatory landscape, he has increasingly integrated politics into his role, advocating for a regulatory environment more favorable to the crypto industry. Following a lawsuit filed by Securities and Exchange Commission Chair Gary Gensler last year, which accused Coinbase of selling unregistered securities, a judge ruled that the matter should proceed to a jury trial. Coinbase has defended itself energetically, underscoring its willingness to work with regulators to establish clear laws for the evolving industry.
In the 2024 election cycle, Coinbase emerged as one of the top corporate political donors, contributing over $75 million to Fairshake and affiliated PACs, along with a new $25 million commitment to support the pro-crypto super PAC in the 2026 midterm elections. Armstrong himself donated over $1.3 million to a range of candidates. Instead of entering the presidential race, Coinbase focused on congressional contests, aiming to build a coalition of crypto-friendly lawmakers.
This post-election rally more than compensated for Coinbase’s recent 15% stock decline after reporting weaker quarterly earnings, driven by reduced transaction and subscription revenue.
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