Coinbase makes plans for stock market listing

Marco Green
July 11, 2020

It would become the first major USA cryptocurrency exchange in the public market.

If the Securities and Exchange Commission signs off on the listing, Coinbase would become the first publicly traded cryptocurrency marketplace.

USA cryptocurrency trading platform Coinbase Inc. reportedly anticipates to debut in the public markets. If this IPO goes through, it will give mainstream reassurance in the industry.

The benefit of a direct listing is that it is a low-priced way to go public, and a direct listing does not make the company that's selling shares subject to a lock-up period.

While no specific valuation has been disclosed, Coinbase's $300 million private fundraising in October 2018 valued the company at more than $8 billion. It's wealthy, having raised north of $500 million during its life as a private company, and highly valued.

As per the sources, 2012-founded Coinbase would apply for the listing later this year or early next year as the company hasn't shared the intention to go public with the SEC but has been in talks with law firms and investment banks.

The mysterious sources additionally uncovered to Reuters that the crypto stage is preferring an immediate posting on the business sectors over an Initial Public Offering (IPO). From a casual hobbyist to a 20-year-old running a 14,000-person platform, meet the new generation of retail investors. In a conventional IPO, new shares are sold in the open market. They are able to skip expenses around underwriting and roadshows.

That said, one would assume Coinbase to be doing ample homework to get past the regulatory hurdles to list itself as a public firm.

Investor Day reportedly scheduled: Coinbase has scheduled its first-ever investor day for August 14, reported Coindesk. A Coinbase spokesman said the company does not comment on rumours or speculation that are being spread out. Grewal was serving as VP and deputy general counsel at Facebook before this. Throughout Paul's career, he has repeatedly encountered some of the largest and most complicated legal issues in tech, and we look forward to him bringing that experience to bear for Coinbase. The good news is that we will not have to wait for long to get the complete picture given that if the Reuters report is true, Coinbase should be filing the S-1 report with the SEC which will report its financial statements with the commission.

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