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The California tech exodus isn't slowing down. Y Combinator's Garry Tan recently fired back at the state's economic policies, echoing concerns that have been growing louder across the startup world. His critique arrives just days after David Sacks, a prominent figure in the Web3 and venture space, publicly advocated for expansion into Austin, citing the stark contrast in business-friendly policies and tax structures.
This isn't just venting—it reflects a real shift in where founders are building. The combination of California's regulatory burden, rising operational costs, and tax rates versus Austin's aggressive incentives creates a compelling case for relocation. For crypto and blockchain startups especially, where venture capital flows and founder sentiment matter enormously, this regional tension could reshape which ecosystems attract the most ambitious projects. When heavyweight investors signal where they're looking, founders take notice.