The U.S. cryptocurrency exchange Coinbase has applied to the Securities and Exchange Commission (SEC) to go public. The company has filled in a so-called S-1 form that has to be assessed by the SEC. This could be a huge opportunity, not only for Coinbase, but also for the entire crypto market.
The U.S. stock exchange recently filed the necessary papers to go public with an IPO. Some analysts believe that the offering could be worth as much as $28 billion.
Coinbase wrote in the official announcement:
Coinbase Global, Inc. announced today that it has confidentially filed a draft registration statement on form S-1 with the Securities and Exchange Commission (the“ SEC „). Form S-1 is expected to become effective after the SEC completes the review process, subject to market and other conditions‘.
Valuation 28 billion U.S. dollars
According to Messari, Coinbase IPO could value the company at $28 billion. The crypto research company explained that the stock market involved venture capitalist Marc Andreessen and Gokul Rajaram. In addition, former Cisco CFO Kelly Kramer is now also on the Bitcoin Lifestyle board of Coinbase.
This could be one of the largest IPOs on the market. If this valuation is achieved, the Facebook valuation of 16 billion USD will look small compared to Coinbase. Other IPO valuations included Visa for 18 billion USD, Alibaba for 25 billion USD or ICBC for 14 billion USD.
Messari looked at various factors to arrive at this valuation. Consider transaction fees, custody fees, debit cards and more. In addition, we have to take into account that most of the platform’s trading volume comes from institutional clients. The average trading amount per client on the platform is $703.