Coinbase CEO Reveals Sale Bombshell Following $2 Trillion Bitcoin, Ethereum And Crypto Price Crash

Bitcoin
BTC
and major U.S. crypto exchange Coinbase
COIN
are suffering through a brutal crypto winter that could blow up the market.

The bitcoin price has crashed over the last year amid market “panic” that’s wiped 80% from the value of Coinbase. Ethereum
ETH
, the second-largest cryptocurrency after bitcoin, has also plummeted (though some think it could be about to surge).

Now, as JPMorgan and PayPal make the case for bitcoin, Coinbase chief executive Brian Armstrong has revealed he’s selling 2% of his Coinbase holdings over the coming year—promising to use the cash to fund scientific research and companies.

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Coinbase CEO Brian Armstrong founded the bitcoin, ethereum and crypto exchange in 2012.

The Washington Post via Getty Images

“I want you to hear it from me first,” Armstrong, who owns 16% of Coinbase and controls almost 60% of the company’s voting shares, posted to Twitter. “I’m passionate about accelerating science and tech to help solve some of the biggest challenges in the world.”

Armstrong said he’d use the sale funds to invest in “companies like” Newlimit, a life sciences company, and Researchhub, a self-branded “GitHub for science.”

“The goal of NewLimit is really to radically extend human health span,” Armstrong said last week on Tim Ferris’ podcast.

Coinbase was founded by Armstrong in 2012 and took the company public last year, listing shares on the Nasdaq exchange in April. Since then, the company’s value has tanked along with the bitcoin, ethereum and crypto market, falling from a peak of almost $400 to just $63 at Friday’s market close.

Coinbase reported a net loss of $1.1 billion in the second quarter of this year and missed analysts’ estimates for revenue. The company will report its third quarter results on November 3.

The bitcoin price has crashed over the last year, dragging down the price of ethereum, and weighing … [+] on the Coinbase stock price.

Forbes Digital Assets

In May, it was reported four of Coinbase’s top executive team sold over $1 billion in shares at prices between $189 to $422, with Armstrong offloading almost $300 million, according to the Wall Street Journal‘s analysis of regulatory filings.

“For the avoidance of doubt, I intend to be CEO of Coinbase for a very long time and I remain super bullish on crypto and Coinbase,” Armstrong said. “I’m fully dedicated to growing our business and advancing our mission, but I am also excited to contribute in a different way.”

Speaking to Ferris, Armstrong claimed “over a thousand millionaires were created” when Coinbase made its Nasdaq debut.