Brian Armstrong, CEO of Coinbase, recently joined the list of crypto billionaires. Recently, at a funding round, the firm was valued at $8 billion, making its CEO, worth $1.3 billion. San Francisco-based cryptocurrency startup has seen tremendous growth in the past few years and is going strong despite the bearish market.
Coinbase and its History
The ever-expanding list of services, features and robust security record has managed to make Coinbase one of the biggest facilitators of crypto trading in the United States. The facility of no-nonsense entry into cryptocurrency had Coinbase stand out in the crypto market.
Coinbase also has a crypto education platform called Coinbase Learn. Coinbase Learn provides information and analysis for a range of assets.
Coinbase recently launched a variety of products and services. The company made a few high-profile hires and received prestigious licenses to operate this year. The firm launched Coinbase Custody, Coinbase Institutional Coverage Group, Coinbase Prime and Coinbase Markets. These four launches were aimed at capturing the institutional market.
The firm is exploring the possibility of launching its own Bitcoin ETF. Coinbase has added several new digital assets and expanded the trading pairs offered to include additional stablecoin pairs. The company operates another exchange service, formerly known as GDAX, which offers even more advanced trading features.
Coinbase managed to raise $300 million in its recent funding round. The company’s recent investment round was led by Tiger Global Management. The firm was able to gain appreciation and presence from Wellington Management and Andreesen Horowitz in its funding round.
The firm is extremely profitable and currently has over 20 million users. Clearly, there is a lot of money to be made in the crypto exchanges even during the bear markets. Coinbase has made the direction of the market irrelevant with its earnings.
What to Expect Next?
Intercontinental Exchange (ICE) recently announced their one-stop crypto shop, Bakkt. On the other hand, the multitrillion-dollar Fidelity Investments is planning to launch its own trading desk. Looking at the competition in the market, Coinbase’s efforts to entice wealthier class of investors stand in dangerous waters. The crypto exchange hasn’t given up on its roots which might turn the tables for the firm. So far, Coinbase has earned its profits from retail investors and lower volume traders.