The Strategist

Coinbase announces date of Nasdaq listing

04/02/2021 - 03:46

One of the largest cryptocurrency trading platforms, US-based Coinbase Global, has announced a direct listing date on Nasdaq. The crypto exchange will be traded on the stock market from 14 April.
U.S. crypto exchange Coinbase Global called the date of a direct listing of its shares on Nasdaq - it will begin on April 14. The Wall Street Journal reported this, citing the company and the regulator. 

With a direct listing instead of an IPO, the public company does not raise funds from investors, and does not pay investment banks for their services for an initial public offering. The regulator said in a statement that Coinbase was valued at $67.6 billion when it last traded privately.  

In mid-December last year, the company announced its plans to go public. It has filed a draft securities registration statement with the Securities and Exchange Commission (SEC), a document containing details of the issuing company's financial performance and business. The cryptocurrency platform could become one of the most expensive companies to go public since Facebook's IPO nearly 10 years ago. 

The company's prospectus, published on the US Securities and Exchange Commission website on 24 February, reported that the cryptocurrency exchange's revenues more than doubled in 2020, from $534 million in 2019 to $1.28 billion last year. It posted a net profit of $322 million in 2020, while the company reported a net loss of $30 million in 2019. Coinbase added that most of last year's revenue came from transaction fees on bitcoin and ether purchases and sales, the two cryptocurrencies accounting for more than 56% of trading on the site. The number of transactions in 2020 increased by 180% to 2.8 million per month. In total, there are 43 million registered users on the platform. Coinbase's offering could be the first major direct listing on Nasdaq, Bloomberg wrote.