Ran Neuner also is known as the “cryptomanran” is famous for breaking some of the most fantastic news in the crypto world. And this time he has just got a bigger breaking news as he has plans to share the details of the Coinbase IPO in his upcoming show on October 26, 2018.
Coinbase is all set to go public
Coinbase is one of the largest global exchange the trades cryptocurrencies. The exchange has operations spread over 190 countries and clocks a revenue of more than USD 1 billion. Due to its large operations, the exchange is considered a dominant player globally. Hence the news of its IPO is definitely huge.
Ran Neuner, the host of the Crypto Trader show on CNBC Africa, has shared a tweet where he mentions of sharing the complete details of the IPO on his program that would be aired on Friday, Oct. 26. On his tweet, he also provided statistics on Coinbase’s revenue and account numbers in his post. The infographics show that the number of users on Coinbase has now reached 25 million, with 600,000 actively trading on the platform.
As per the data revealed, the California-based crypto exchange has seen $90 million in revenue last quarter, with expectations to earn $450 million in the last quarter of 2018. 80 percent of revenue came from consumers, 15 percent more from institutional accounts, and the source of other 5 percent was not disclosed.
CNBC Cryptotrader exposes details of the Coinbase IPO raise tomorrow on a Cryptotrader exclusive. pic.twitter.com/YG4UOP3ju8
— Ran NeuNer (@cryptomanran) October 25, 2018
Coinbase president Asiff Hirji first hinted about an IPO in late 2017. When asked about the possibility of taking the company public, he said:
“It is certainly in the interest of our investors…and the most obvious path of Coinbase is to go public at some point, but there’s a lot for us to do between now and then, whenever that date is.”
In early October, U.S. tech media Recode cited two unnamed sources familiar with the matter who stated Coinbase was about to finalize a deal that would value the company at about $8 billion. In particular, the crypto exchange was allegedly in talks with Tiger Global and its current shareholders for an investment of up to $500 million.
The crypto exchange has been a darling of investors and has raked up funding at great speed.
In May 2013, the company received a US$5 million Series A investment led by Fred Wilson from the venture capital firm Union Square Ventures. In December 2013, the company received a US$25 million investment, from the venture capital firms Andreessen Horowitz, Union Square Ventures (USV) and Ribbit Capital. In January 2015, the company received a US$75 million investment, led by Draper Fisher Jurvetson, the New York Stock Exchange, USAA, and several banks. In August 2017, Coinbase again raised $100M in Series D funding led by IVP, with participation from Spark Capital, Greylock Partners, Battery Ventures, Section 32 and Draper Associates. This funding gave the digital currency startup a post-money valuation of $1.6B.
The way Coinbase is positioned raising capital should be a problem for the exchange. But the IPO will still be a litmus test of how the public at general believes about crypto businesses.
Do you think Coinbase IPO will be oversubscribed? Do let us know your views on the same.
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Nilesh Maurya has been associated for past 8 years as an Investment Banker with Omega Capital, a bespoke Investment Banking outfit having offices in Mumbai, New York, Singapore, and Dubai. He has been a regular contributor to business publications such as Business India and Market Express and has been a mentor to many start-up companies. Nilesh Maurya has been associated for past 8 years as an Investment Banker with Omega Capital, a bespoke Investment Banking outfit having offices in Mumbai, New York, Singapore, and Dubai. He has been a regular contributor to business publications such as Business India and Market Express and has been a mentor to many start-up companies. Follow him on Twitter at @KoinKing1 or connect with me on linkedin.