Wednesday, Sep 28, 2022
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Featured Technology

Leading cryptocurrency exchange Coinbase valued at $100 bn

Coinbase IPO_IFM_Image
The exchange went public on April 14th

Coinbase, which is one of the biggest cryptocurrencies in the world, is valued at nearly $100 billion, media reports said. The company recently went public on April 14th. Coinbase listed its shares on Nasdaq under the market symbol ‘COIN’.

In a company filing, Coinbase said, “We are subject to an extensive and highly-evolving regulatory landscape and any adverse changes to, or our failure to comply with, any laws and regulations could adversely affect our brand, reputation, business, operating results, and financial condition.”

It was reported that for the years ended 31 December 2020 and 31 December 2019, Coinbase generated total revenue of $1.3 billion and $533.7 million, respectively, net income (loss) of $322.3 million and $(30.4) million, respectively, and adjusted EBITDA of $527.4 million and $24.3 million.

Earlier this month, the cryptocurrency market capitalisation hit an all-time high of $2 trillion, according to data and market trackers CoinGecko and Blockfolio. Bitcoin alone has hit a market capitalisation of $1.1 trillion.

Even though cryptocurrencies, bitcoin included, are volatile in nature, analysts expect bitcoin will be able to maintain its $1 trillion market capitalisation if it stays above $53,000. In mid-March, bitcoin has hit the all-time high of more than $61,000. Bitcoin broke the $50,000 mark in the month of February.

Earlier this year, Elon Musk’s Tesla, which is an electric vehicle and clean energy company based in the US, has bought $1.5 billion worth of bitcoin. The company announced the same in a Securities and Exchange Commission (SEC) filing on Monday. The company is planning to soon start accepting bitcoin as a form of payment for its products.

In the SEC filing, Tesla said, “We expect to begin accepting Bitcoin as a form of payment for our products in the near future, subject to applicable laws and initially on a limited basis, which we may or may not liquidate upon receipt.”

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