[wrong_variable]

What prevents Coinbase to go offshore then ?

[bdcravens]

The fact that they have a ton of VC they're already beholden to that is here in the US, and who aren't interested in IRS scrutiny themselves.

[sangnoir]

Also, the fact that Coinbase is in the US legal jurisdiction gives its clients confidence they would be made whole if anything untoward were to happen.

[makosharky]

A desire to interface with the US banking system.

[lallysingh]

Plenty of offshore exchanges. People use coinbase because it's working within the US system.

[kentm]

Exactly this. From a consumer perspective, being subject to the US legal system is a big advantage.

[duxup]

They want to do business in the US and work with US banks.

[fooey]

That's not the kind of business they want to be. Coinbase want to be seen as legit, not an offshore tax haven.