Former Coinbase CTO Loses Malaysia License Over Office Violations

Malaysian authorities have officially revoked the business license of Network School, a technology community founded by former Coinbase chief technology officer Balaji Srinivasan. The Iskandar Puteri City Council ordered the group to stop all operations at Forest City. Local officials stated the decision came down to business and premises violations, noting that the company operated across multiple units without proper licensing for every site.

The investigation originally kicked off after pro Palestinian activists raised concerns online about alleged Israeli participants entering the country. While immigration officials checked hundreds of foreign residents and found valid travel documents for everyone, the scrutiny brought heavy local attention to the project. Malaysia does not maintain diplomatic relations with Israel and bans direct entry on Israeli passports.

Srinivasan pushed back against the rumors on social media, clarifying that the community was not shutting down entirely and pointing out that the main issues involved a signage text correction and a coworking space permit mix up. Even so, the organization has put its future expansion plans in Malaysia on hold. Founder Srinivasan noted that the project already invested millions in the region, meaning this regulatory clash could push the tech community to set up future physical hubs in other welcoming jurisdictions.