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Coinbase fires engineer for building AI trader despite disclosure

Coinbase terminated software engineer Austin Starks for developing NexusTrade, an AI trading platform, despite Starks claiming full disclosure during his hiring process and no work-hour violations. The firing came one week after Coinbase suspended Starks on March 25, coinciding with the company's December 2025 launch of a competing 'Coinbase Advisor' AI product. CEO Brian Armstrong cited 'missed learnings' on hiring as the company plans to cut 14% of staff amid AI-driven efficiency pushes. The case highlights Silicon Valley's growing tensions around employee side projects as companies race to build AI products while punishing internal competition.

Sources

  1. I was fired from Coinbase for building an AI trading platformNexusTrade
  2. Coinbase's Missed 'Learning' on HiringThe Information

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