Coinbase Global Inc will start trading on the Nasdaq exchange next week under the COIN ticker symbol and this presents an opportunity for a lot of old money to get into the $2 trillion crypto market.
In terms of valuation, it is expected to trade at between $70 billion to $120 billion. On the Nasdaq private markets, it was trading at around $90 billion.
Is this valuation realistic? Everyone here on LeoFinance and Hive knows how well the crypto market has been doing as of late. Coinbase is also expected to announce a first quarter profit in the $800 million range.
If crypto remains as hot for the rest of the year, that will mean a profit of around $3-$4 billion. A PE ratio of 40x isn't so unreasonable in this day and age.
Expect the other major exchanges like Binance to go public as well in the days ahead. Its a matter of time and while i'm not super-thrilled about these centralized exchanges, they do add legitimacy to the whole crypto market and that's a positive.
--Source image via Bloomberg
Hold on for it! I wonder what will happen.
Posted Using LeoFinance Beta
Expecting a major pop. I need to look at the lock in periods. If insiders ever sell and the price drops, I will buy some.
Yay! 🤗
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