Coinbase joins Pinterest in doing right by employees - Fortune

posted on 08 Aug 2015 09:39 by giantowner1910
Well, until today.

Kudos in order to Coinbase for doing proper by simply its employees. This was a large offer since many tech startup workers are heavily compensated simply by stock options, but they will are forced with the idea to exercise as well as lose vested alternatives upon departure -- something which not merely demands adequate cash to buy your options, but inside addition to be able to spend your money for onerous tax bill.

Armstrong adds that will no existing Coinbase employee had agitated for your change, nevertheless which he became much more conscious of your "golden handcuffs" problem when wanting to recruit off their startups. nope. "One candidate even talked about the actual Pinterest factor about the telephone with me in the particular program of an interview, as well as said he in simply no way once more desired to function to obtain a business that locked him in."

The fundamental answer was...

Here has been your concluding line: "The big issue now could be if other Silicon Valley 'unicorns' follows Pinterest's lead."

Coinbase, a digital wallet business that has raised more than $100 million in VC funding, nowadays will announce a comparable plan for first time employees (i.e., those becoming a new member of this month and also onward). to my knowledge, not a single some other major startup has been doing your same. Currently what precisely is everybody else waiting for?

Get Term Sheet, our every day newsletter on deals and deal-makers.. My guess is the extremely fact that they'll additionally figure out some thing with regard to active employees who would like to maneuver on, nevertheless this will be a bit trickier from a regulatory perspective. Coinbase at present features around 100 employees, as well as plans to include at least another 25 over the particular subsequent year.

"This is a lot a lot more meaningful for employees when compared with providing all of them something such as free associated with charge massages," says Coinbase co-founder and also CEO Brian Armstrong, who says he had been influenced from the Pinterest decision.

In March we wrote about how precisely Pinterest had designed a significant transfer inside the fascination of employee justice, allowing workers along with no less than a pair of many many years of service in order to retain vested stock selections for approximately seven many years following departure (voluntary or even not), as opposed to your traditional 90 days