CALIFORNIA, USA — Brian Armstrong, CEO of Coinbase,
indicated he is considering leaving California in response to the proposed
wealth tax in the state, a measure he described as “deeply un-American.”
Armstrong, one of the leading executives in the
cryptocurrency industry, questioned the initiative and warned that it could
incentivize business owners and high-net-worth individuals to relocate out of
California.
The debate surrounding a potential wealth tax from the
Democratic administration adds to discussions about the state's tax burden,
particularly among businesses and high-income taxpayers.
The Coinbase CEO's statements reflect the growing tension
between some tech entrepreneurs and the tax proposals being pushed in
California, where authorities are seeking new revenue streams to fund public
programs.
Armstrong did not specify when he might make a final
decision about his residency, but left open the possibility of moving out of
the state if the proposal moves forward.
The discussion brings back to the table the debate about the
extent to which taxes aimed at large fortunes, which has become a Democratic
obsession, can affect the permanence of entrepreneurs and investors in
California and the economic competitiveness of the state.