Crypto platform Coinbase is set to be listed on the NASDAQ stock exchange today, and the operator has already set an initial reference price of $250 for the stock.
Coinbase gets a $250 initial reference price
NASDAQ has announced that it has set an initial stock price of $250 for Coinbase ahead of its highly-anticipated listing on the stock exchange. The reference price was agreed to in consultation with Coinbase’s financial advisors and based on private transactions for the stock.
The implication is that the initial reference price of $COIN on the NASDAQ stock exchange will be $250. In its statement, NASDAQ said, “As a Direct Listing, COIN will be in a regulatory halt until Nasdaq opens trading pursuant to the procedures described in Rules 4120(c)(8) and (9) and 4753. Because COIN has not had recent sustained trading in a private placement market, Nasdaq is required to determine the price to use for purposes of Rule 4753(a)(3)(A)(iv)(b) and 4753(b)(2)(D)(ii). That reference price is $250.00.”
NASDAQ further explained that the reference price could differ from the stock’s price when it starts trading. “Please note that the reference price is NOT an offering price, and nobody has purchased or sold shares at that price. The opening public price will be determined based on buy and sell orders in the opening auction on NASDAQ,” the operator added.
The initial reference price gives Coinbase a rough valuation of $64 billion, based on FTX’s estimate of 255 million shares.
Coinbase gifts employees 100 shares each
The cryptocurrency exchange is showing appreciation and gratitude to its staff by offering them shares of the company ahead of today’s public listing. A spokesperson for Coinbase revealed that over 1,700 employees had been given 100 shares each.
With the COIN stock valued at an initial $250, this means that Coinbase has awarded each staff member $25,000. Ireland’s Business Post reported that the company first notified the staff about their new shares in its Irish wing last month.