Company / Analytics

Analytics, 14 April 2021

What Investors should know about Coinbase listing

Major cryptocurrency exchange Coinbase is set to launch one of the most highly anticipated public offerings of 2021 when it begins trading through a direct listing on the Nasdaq under the ticker COIN on Wednesday. Coinbase will be the first crypto exchange to sell shares to the public, and estimates indicate the listing could fetch an astonishing $100 billion valuation. The confluence of a roaring stock market, a bubbling crypto market, and Coinbase’s healthy balance sheet itself present a good time for the company to go public, analysts believe.

Coinbase Listing

Coinbase has been the talk of Wall Street given its upcoming offering which is no doubt a big deal in the world of crypto. Created just over a decade ago with the genesis of bitcoin, Coinbase is now amid a moment that many in the industry have described as a tipping point.

Coinbase allows investors and ordinary people to directly own cryptocurrencies for a fee, and its users deal primarily in bitcoin and Ethereum.

Coinbase reported last week that its revenue soared 847% in the first quarter to $1.8 billion and that it now has 56 million verified users. Observers believe this is a good time for the company to list and some described the upcoming listing as a watershed moment for the crypto industry, and a reflection of the mainstream evolution and adoption of crypto.

Still, some caution that the implied $100 billion valuations of the crypto marketplace is too lofty compared with traditional stock exchanges like Nasdaq Inc. where the company will directly list, and the Intercontinental Exchange, the parent company of the New York Stock Exchange.

For instance, while some estimate the listing could fetch an astonishing $100 billion valuation, based on Coinbase’s reference price, its valuation may be more in the $65 billion range.

Here’s what investors should know about the coming offering.

What is Coinbase?

When will Coinbase go public?

What is the valuation of Coinbase?

How risky is Coinbase?

Should you invest in Coinbase?

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