Coinbase CEO explains why he fired engineers who didn’t try AI immediately | TechCrunch

Source:TechCrunch
By:Julie Bort
8/22/2025, 9:08:34 PM
Description

After getting licenses to cover every engineer, some at the cryptocurrency exchange warned Armstrong that adoption would be slow, predicting it would take months to get even half the engineers using AI.

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Positive Aspects:
  • Aggressive Pursuit of Technological Edge: The CEO's strong stance on immediate AI adoption indicates a clear and decisive leadership vision aimed at rapidly integrating cutting-edge technology, potentially giving Coinbase a significant competitive advantage in efficiency and innovation.

  • Significant Investment in Employee Enablement: By providing licenses for every engineer, Coinbase is demonstrating a proactive commitment to equipping its workforce with the necessary tools and resources to engage with AI, signaling an investment in future capabilities and employee upskilling.

Negative Aspects:
  • Punitive and Potentially Autocratic Management: Firing engineers for not immediately adopting a new tool, despite providing licenses, suggests a high-pressure, top-down management style that could foster a culture of fear, stifle genuine innovation, and lead to decreased morale or a talent drain.

  • Disregard for Realistic Adoption Challenges: The CEO appears to dismiss the engineers' valid concerns about a slower adoption curve, indicating a potential disconnect between leadership expectations and the practical realities of integrating complex new technologies, which often require time for learning, adaptation, and cultural shifts within a large technical team.

Overall Comment:

This snippet reveals a leadership approach at Coinbase that is fiercely determined to leverage AI rapidly, backed by a significant investment in tools for its engineers. While this showcases a commendable commitment to innovation and future-proofing the company, the CEO's extreme punitive measure for non-compliance raises serious questions about management style, employee morale, and a potential lack of empathy or understanding regarding the organic process of technological adoption and change management within an engineering organization.