Cryptocurrency exchange Coinbase is now officially trading on the NASDAQ stock exchange, becoming the latest high-profile crypto company to trade publicly. It began trading at $380 but immediately surged to a high above $420.
Coinbase now trading on NASDAQ
US-based cryptocurrency exchange, Coinbase, is now officially a publicly-listed company after its shares began trading on the NASDAQ stock exchange a few minutes ago. Its entry is the biggest so far in the cryptocurrency sector as it has an initial valuation of over $100 billion.
Trading under the ticker COIN, Coinbase’s shares are exchanging hands for roughly $420 on NASDAQ at the time of writing. The launch price was $380 but the shares surged to a daily high of $429.
Coinbase’s launch, though not via an initial public offering (IPO), is a great victory for the cryptocurrency space. Most analysts and cryptocurrency experts believe that cryptocurrencies are going mainstream, and developments such as this emphasize that fact.
The cryptocurrency exchange has been around since 2012 and has benefited from the massive rise of Bitcoin, Ethereum, and several other cryptocurrencies. Earlier today, Cryptonary reported that NASDAQ set an initial reference price of $250 for the stock. However, it began trading on NASDAQ at $380 and the price surged above $420 within minutes.
With over 255 million shares, Coinbase was expected to have an initial valuation of roughly $64 billion. Coinbase gifted its employees 100 shares each, which is worth over $42,000 at the current price.
Coinbase’s listing comes after a successful quarter
The cryptocurrency exchange pulled perhaps its most successful quarter earlier this year after recording nearly $2 billion in revenue. The $1.8 billion Coinbase generated in the first quarter of 2021 surpasses the $1.3 billion it generated in the entire 2020.
Coinbase and other crypto exchanges have recorded massive revenues thanks to an extended cryptocurrency market bull cycle that began last year. Bitcoin dropped below the $4,000 mark in March 2020 due to the Coronavirus pandemic but rose higher to end the year below $30,000.
The bull cycle continued, with the leading cryptocurrency setting a new high above $64,000 yesterday. Ether, Binance Coin (BNB), and several other altcoins all touched new all-time highs as retail and institutional investors trooped into the market.
With Coinbase going public, more crypto exchanges are expected to do the same over the coming months or years. Kraken has already revealed that it intends to launch an IPO before the end of the year.