TechFlow news — On January 20, Balaji, former CTO of Coinbase, posted on X stating that many startups in the future may attempt to raise funds by issuing tokens as explicit crypto-equity.
He pointed out that from a technical standpoint, representing equity on a blockchain offers clear advantages: investors can hold equity in wallets, query pricing via APIs, and track transactions through blockchain explorers.
At the same time, founders can more easily execute operations such as dividend distributions, share buybacks, and vesting schedule management. He also suggested that founders implement mechanisms such as lock-up periods and mandatory sale rights to align the long-term interests of investors and founders.
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