Coinbase Global, the company that owns Coinbase, one of the world’s largest cryptocurrency trading platform is set to list on the Nasdaq exchange today at a listing price of $250.00 per share. The share price valuation puts Coinbase at a whooping 65.3 billion U.S Dollars on listing with markets expecting the price to go up as soon as on the company’s shares debut on the Nasdaq today.
The company’s fully diluted share count stands at 261.3 million shares, supporting the $65.3 Billion valuation at $250 per share, however, only 115 million shares will be up to the public for the subscription.
Coinbase’s main business is to primarily offer a platform to which it’s users (both corporate and retail investors) can be able to buy, sell, and store cryptocurrencies such as Bitcoin and Ethereum. Last Friday the company announced that it had been admitted as a member of the De-Fi Alliance, an organization that provides mentorship and funding for early stage tech teams working in the $49 billion decentralized finance (DeFi) sector.
This means that investors are likely to see not only Cryptocurrencies but also more block chain related products trade on the exchange, this could in turn increase the revenue for the company and also provide the much needed stability incase the company’s main source of revenue; Bitcoin trading is affected. Bitcoin on the other hand has continued it’s gaining streak, touching an all time high of $63,000 yesterday..
Going by the demand on pre-IPO contracts trading through the FTX exchange, one of the U.S trading platform, coinbase contracts were already trading at prices of $600 giving the company a valuation of slightly above $150 billion.
In a survey of pre-market estimates across most global trading platforms, the company is most likely to surpass the $100 billion valuation mark, backed by the numbers the company reported in the first-quarter earnings report. Coinbase indicated over $1.8 billion in revenue with over 56 million registered customers.
Coinbase had declared its intent to go public in December 2020 on the Nasdaq. Investors had hoped that the crypto exchange firm would list in early January but the company had postponed the listing to April after the company was was fined $6.5 Million for false, misleading, or inaccurate reporting and wash trading from January 2015 to September 2018 by the U.S Commodities Futures Trading Commission (CFTC)