Coinbase CEO Brian Armstrong stated in a post on 12/3: 'We have informed all collaborating law firms that if they hire individuals from the outgoing (former) government who were involved in these misdeeds, we will no longer be their clients. The senior partners of these law firms seem completely unaware of the stance on the crypto industry. For example, Milbank recently made a mistake by hiring Gurbir. Therefore, we will no longer work with them, and as long as he is there, we will never collaborate.'
In my view, attempting to illegally stifle an industry while refusing to publish clear rules is an ethical violation. If you have ever been a senior official in such an organization, you cannot use 'just following orders' as an excuse. They had the option to leave the SEC, and many conscientious people indeed did. That period was not a normal SEC tenure.
These individuals can transition to work in other fields (I do not advocate for permanently excluding certain people), but as an industry, we should not bring them any benefits. Please inform your law firm that hiring these individuals means losing the support of your client.
Brian Armstrong is so angry because Milbank, the law firm that Coinbase had collaborated with, employed former SEC Enforcement Director Gurbir Grewal, who strongly opposes the crypto industry.
With the election concluded, the job-seeking wave from former SEC enforcers begins.
With the election results settled, the future blueprint of the new government is gradually becoming clear. However, some senior officials from the former government are quietly turning to seek jobs in private companies, particularly targeting tech entrepreneurs. Tech company founder Joshua Steinman recently issued a public statement urging startup founders to stay alert during this critical period and providing specific coping strategies.
Post-election challenge: Job seekers from the government.
As the new government is about to take office, Joshua Steinman believes that retiring officials are planning to enter the tech industry, and these individuals may have participated in decisions that limited economic growth or technological innovation. He points out, 'These individuals will try to integrate into your company in the form of job applications, which is a phenomenon that requires vigilance.'
He emphasizes that this is not the first occurrence, but the situation is more unique this time, as the outgoing government has exhibited an unprecedented attitude of 'hostility towards economic growth.'
Action plan: How to identify and respond.
Steinman advises tech entrepreneurs to adopt a multi-layered strategy to tackle this challenge:
Step one: Observe the background. Carefully review the resumes of candidates, especially those from senior positions in the White House, Department of Defense, Department of Energy, or Department of Homeland Security. They may present themselves with titles such as 'Special Assistant,' 'Senior Advisor,' or 'Deputy Assistant Secretary.'
Step two: Identify political appointments. Pay attention to mentions of Schedule C (political appointments), HQE, SGE, or IPA in the resumes, as these labels indicate that their past roles have a significant political bias.
Step three: Respond cautiously. Steinman offers some suggested responses, such as 'We need more time for internal discussions on direction,' to express politeness without being too direct in refusal.
The controversies of the past four years: far-reaching policy decisions.
Steinman criticizes the technology policies of the Biden-Harris administration, listing several controversial actions, including:
Once threatened to nationalize SpaceX;
Pressuring social media to restrict freedom of speech;
Proposing a tax on unrealized gains.
He believes these policies reflect the risks that former officials may bring, especially regarding whether they can truly promote business development, which is worth reconsidering.
Risks and temptations: Be wary of job search traps.
Steinman warns that these officials may approach entrepreneurs indirectly. For instance, through intermediaries or initiating cooperation invitations with 'harmless conversations.' He describes these tactics as 'thieves returning the next morning to sell protection services' and advises entrepreneurs to remain vigilant.
Using AI models to discern authenticity.
Steinman mentions that the latest AI models can help entrepreneurs analyze the backgrounds of these job seekers. He suggests that entrepreneurs record the conversations and have them analyzed by AI tools, which will be more effective than relying solely on intuition.
The key lies in whether the values align.
Steinman emphasizes that companies should ensure that the team members they recruit align with their vision for the future. He points out, 'This is not only a matter of responsibility but also a significant choice concerning the long-term development of the tech industry.' He calls on entrepreneurs to unite and avoid providing a platform for those who may hinder technological progress, stressing that the choice rests in the hands of the entrepreneurs.
Steinman's warning is not only a reminder for the tech industry but also a sense of responsibility for the industry's future. He calls on entrepreneurs to retweet his message to prevent such situations from having a long-term impact on the tech sector.
This article discusses the post-election reckoning in the tech sector: Entrepreneurs need to be wary of the post-election job-seeking wave, with Coinbase openly resisting former SEC employees, first appearing in Chain News ABMedia.