Coinbase’s initial market cap hit $ 85.8 billion this week, making it more valuable than some of America’s biggest companies.
April 15, 2021
2 minutes of reading
Initially, the stock opened at $ 381 and rose to $ 429.54 before falling below the original price. However, Coinbase’s strong performance was reflected at an initial market cap of $ 85.8 billion, prompting crypto exchanges worth more than General Motors ($ 84 billion), FedEx ($ 76 billion) and Twitter ($ 56 billion).
Founded in 2012 to facilitate cryptocurrency transactions, Coinbase submitted for a listing on February 25. SEC approved exchange earlier this month listed its Class A common stock on the Nasdaq Global Options Market yesterday, which took place the next day. Bitcoin hit an all-time high of approximately $ 63,000.
CNBC reports that Coinbase currently has 56 million users – a jump from 43 million last year. That, in turn, translated into a record amount of sales for the company. Last week, Coinbase published its first quarter preliminary results and estimated that their revenue during that period had grown nine-fold to approximately $ 1.8 billion.
Based on Traders in the process, the crypto exchange is also worth more than twice as much as Chipotle ($ 43 billion), eBay ($ 43 billion) and Hilton ($ 35 billion). However, when renting out, a billionaire investor is currently not buying into the hype.
“Over the next week, we could certainly have some volatility due to the excitement surrounding Coinbase,” said former Goldman Sachs partner and crypto investor Mike Novogratz recently. at a due virtual event MarketWatch and Barron’s.
“I’ve seen a lot of weird coins like dogecoin and even XRP having a huge retail spike, which means there’s a lot of frenzy right now,” added the investor. “That never ends well, and so we might have a washout [of the broader market] at one point. “