Coinbase CEO Faces Conflict of Interest Allegations After RSC Token Listing

The recent listing of ResearchHub’s RSC token on Coinbase has raised concerns about potential conflicts of interest due to CEO Brian Armstrong’s involvement with the project, as reported by The Block.

ResearchHub brands itself as a «GitHub for scientists,» offering a platform for sharing research papers, discussing findings, and earning rewards in RSC. Armstrong is a co-founder of the initiative.

In 2023, the startup secured $5 million in funding, led by Open Source Software Capital, with Boost VC contributing an additional $2 million.

On July 25, 2025, Coinbase announced its plans to list the RSC token, prompting users to joke about the delay in its introduction. One user, Rich, commented, «It’s interesting that Brian Armstrong is adding his own coin so late.»

Following the listing, the price of the crypto asset, which launched in 2022, surged by 15%, according to CoinGecko. At the time of this writing, RSC is trading at $0.74, with a market capitalization of $85.3 million.

Both Coinbase and Armstrong refuted the allegations regarding conflicts of interest. Coinbase labeled ResearchHub as an independent research entity, while Armstrong emphasized that he neither reviews nor approves the assets listed on the platform.

He clarified, «All assets listed on Coinbase undergo evaluation by our Digital Asset Support Group (DASG), which assesses each token for legal compliance and cybersecurity. I am neither a member of the group nor do I have a say in the listing decisions.»

Armstrong further stated that he disclosed his relationship with ResearchHub to Coinbase’s board as part of standard practice, noting that RSC was created by the ResearchHub Foundation, which uses the token to reward its community.

Despite these assurances, some users remained unconvinced and continued to voice concerns about a conflict of interest. One user, Kostas Papapaschalis, questioned, «Isn’t DASG part of Coinbase and under the CEO’s authority? How can this not be a conflict of interest? Also, does the post seem more like a promotion for $RSC or an attempt to clarify the absence of any conflict?»

In addition, Armstrong referenced a Medium post from March 2022, where he publicly committed to not selling RSC for four years. He remarked, «If Coinbase or any other platform lists ResearchCoin, its price could likely fluctuate. Due to its limited supply, the coin may exhibit high volatility or reach valuations that don’t reflect its true worth.» He reiterated that his commitment remains unchanged, with only a few months until its expiration.

It’s worth noting that in January 2025, the Coinbase CEO proposed a new approach to token listings, stating that with the creation of one million coins weekly, evaluating each individually is «not practical.»