Coinbase glimpses its US IPO worth $ 100 billion

New York, Apr 5 (EFE) .- The platform for operations and exchanges with cryptocurrency Coinbase prepares its imminent IPO, with what will be the first listed start-up born exclusively in the era of digital currencies and whose value could reach the 100,000 million dollars.

Coinbase will go public on the Nasdaq index on April 14 under the label “COIN” following a system known as “direct listing”, in which the partners sell their shares, according to it said in its corporate blog after the approval of the Commission of the US Stock Market (SEC).

The cryptocurrency exchange, which will be the first to be listed in the US, was planning its debut in March, but has postponed the date to the following month, and will offer almost 115 million shares to the market in an IPO that goes public. of the traditional and that firms such as Spotify or Slack have followed.

Coinbase, which is based in San Francisco (USA), began operating in June 2012 with the “radical idea” of democratizing the trading of bitcoins in an easy and safe way, and has expanded its objective to other cryptocurrencies to become on one of the main platforms in the country in less than a decade.

At the end of fiscal year 2020, it had 43 million verified users in a hundred countries and managed assets worth 90,000 million dollars, while its annual results showed net gains of more than 322 million – in fiscal 2019 it registered losses – with a turnover of 1,300 million.

According to documentation provided to the SEC, Coinbase reached $ 68 billion in its last private valuation round last month, already amid expectations for its IPO, a figure well above the $ 8 billion it reached. at the end of 2018 and that could continue to increase.

The firm will offer a reference price for its securities on the eve of its new listing, but specialized media indicate that, still in private hands, it ranges between 350 and 175 dollars, which would place its valuation at between 90,000 and 100,000 million.

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Ángel Luis Quesada, CEO of the Spanish digital asset custody company Onyze, told Efe that this high valuation is “totally feasible” since “the volumes it moves and the benefits it generates, at the moment, are much higher” , and it is “one of the benchmark projects in the crypto environment, which makes it have the support of the entire community.”

But a potential drop in the price of bitcoin, which today fluctuated near $ 58,800 after the long weekend in the US for the Easter celebrations, is a “risk factor” for its accounts, as reported to the regulator, so analysts monitor its evolution.

“The bitcoin news has been relatively quiet in recent days. Some bubbly goals have been achieved, anticipation for Coinbase’s IPO is growing, but in the end it looks like this streak needs fresh investments of billions of dollars of corporate America, “Oanda analyst Ed Moya said in a note.

First of all, the green light from the US stock regulator to the debut of Coinbase, whose turnover is led by bitcoin and ethereum, has been interpreted by its followers as a new victory for cryptocurrencies, which enjoy each and more support between companies, financial institutions and investors.

“It is a great step for the normalization of our activity, it is essential that the regulator see that some companies are trying to do things well and give the green light to the next phases, this will make more companies and institutions take the step and increase their capital and operations with cryptocurrencies, “said Quesada.

It also helps “remove the false stigma that cryptocurrencies are only associated with scam, hackers and deepweb issues,” he added.

Recently, Tesla announced that its electric vehicles can be bought with bitcoin, while the credit card entities Visa and Mastercard will allow to operate with cryptocurrencies, and the big banks, with firms such as Morgan Stanley in the lead, are beginning to give the arm to twist in cryptocurrency investments.

However, the US authorities continue to be reluctant to watch digital currencies: both the president of their central bank, Jerome Powell, who considers them “speculative assets”, and the Secretary of the Treasury, Janet Yellen, who sees them as an “inefficient” payment method, according to his latest statements.

(c) EFE Agency