The US-based crypto exchange giant Coinbase, with a valuation of as much as $100 billion, will begin trading on the Nasdaq under the ticker symbol COIN in a direct listing rather than a traditional IPO. While much speculation has swirled about Coinbase’s final valuation, investors were heartened by preliminary figures showing net revenue at $1.8 billion, which is almost twice as much as Euronext revenue in all of 2020.
Coinbase expects net income to grow to $730-800 million in 2021.
Coinbase crypto exchange is anticipating net income to grow to $730-800 million in 2021 from $31.9 million a year ago. “The strong figures will likely drive huge demand for shares in Coinbase at the IPO, ” Steen Jakobsen, chief investment officer at Saxo Bank in Copenhagen, said. The US crypto exchange is the first company devoted entirely to cryptocurrency to enter a US stock exchange. Estimates vary depending on the method of calculation, but the firm’s capitalization is expected to range from $70 to $100 billion, the largest IPO for a US company since Facebook in 2012.
Coinbase reported total revenue of approximately $1.8 billion in Q1 2020.
As reported earlier, Coinbase released its estimated financial results for the first quarter, which ended March 31, 2021. The crypto exchange mentioned that it has more than 56 million verified users. According to the announcement, the company’s total trading volume reached $335 billion in Q1 of 2021. The cryptocurrency exchange reported revenue of nearly $1.8 billion during the first three months of 2021. The report further mentioned that the total cryptocurrency assets on its platform reached $223 billion, which is around 11% of the total market cap of digital currencies. The number includes around $122 billion worth of digital assets from institutional clients.