Coinbase will go public in 2021. Expected for Q1. "Coinbase was valued at more than $8 billion in 2018 after a $300 million funding round led by Tiger Global Management. The company, started in 2012, has raised more than $500 million from backers that also include Andreessen Horowitz, Y Combinator and Greylock Partners, according to its website. Coinbase said it has has more than 35 million verified users in more than 100 countries and more than $25 billion in assets on its platform." If you are a little bit crypto-savvy you can already get in through so-called preipo contracts see: Coinbase is one of the main exchanges for cryptocurrencies in the USA. They are selling shovels during the goldrush. That said 60B is an extreme value. Too much I would say. I still think it is a good play upto actual IPO day. Like most recent IPOs I expect nothing but hype and buying pressure. Short term: long, long term: short. I expect this to be one of the biggest IPOs of 2021. Recently traditional media have been spending more and more attention to bitcoin and crypto, so their audiences are warmed up and probably afraid to miss out. The Pre IPO is not open for US Citizens. "CM-Equity is fully regulated in Germany, and is a licensed financial institution permitted to offer these products. All FTX users who trade tokenized stocks may also have to become customers of CM-Equity, and pass through CM-Equity's KYC and compliance. Furthermore, all trading activity may be monitored for compliance by CM-Equity. CM-Equity custodies the equities at a third party brokerage firm. CM-Equity (not FTX Trading LTD) provides the brokerage services. In order to trade tokenized stocks on FTX, you must be at least KYC level 2. Once you are, you can go to your tokenized stocks KYC page to submit your information to CM-Equity. You must also not be a member of one of FTX's restricted jurisdictions, including the United States; FTX collects KYC documents and IP addresses from its users. FTX does not operate in its restricted jurisdictions." The preipo contracts will convert to tokenized shares at the end of IPO day. The tokenized shares are backed 1 on 1 by the actual shares. If Coinbase for whatever reason does not go public before 21st of june 2022 (1.5 year from now) the contracts will be cash settled at 32 USD.
The far bigger story here in my opinion is that Coinbase will now be regulated by the SEC.....those thinking that cryptocurrencies will be allowed to freely exchange independent of government control are in for a big awakening. Within a year or two tops, cryptos will just be another blinking ticker at the Wall Street casino. Am I saying they don't have value? No. I'm saying that many of the "unique" attributes of crypto will be effectively neutered by the govt/Wall Street cabals.
There are proposed regulations right now that have far more consequences than the Coinbase IPO. What is the thinking that Coinbase under SEC rules will affect bitcoin network operations? You guys know about Gemini, PayPal, Square, Kraken, Binance, Huobi, FTX, Bitstamp, Kucoin, etc? There are many other places to purchase bitcoin from than just Coinbase. Once you have transferred to your own wallet, bitcoin operates in the same way it always had since inception 12 years ago.
I honestly hate coinbase and just about everyone else I know hates them too. They charge the highest fees and also dont have a good selection of tokens. And I think this Bitcoin rally only helps them, but what happens when the rally is over? They will plummet after the bulls are done
Since buying in two pretty bad pieces of news came out: Bloomberg: Coinbase Sued Over XRP Commissions After SEC Pursues Ripple NY Times: Cryptocurrency Start-Up Underpaid Women and Black Employees, Data Shows While I do not thing any of those things have any merit, normally this would have a negative effect on the price regardless. Especially if a company is already overvalued by any useful metrics, which CBSE seems to be. But there is no selling pressure. We are currently trading at 263 USD, up from 238. Which makes me believe Coinbase will be a mind-blowing IPO in 2021. I believe there is a lot of potential upside left
Currency ETFs will cut in on coinbase future growth, however market will probably take this much higher than 60B when it debuts. Coinbase will need to ask themselves, do investors even take physical possession of stock certificates when buying and selling stocks? Physical possession ultimately means customers are ready to spend the coins like fiat money, by that time.. banks, brokerages, credit unions and grandma will be all in.
Coinbase, the San Francisco based crypto currency exchange, has officially filed to go public with a direct listing, which according to some analysts may raise the company’s valuation to over 100 billion USD.