Coinbase Crypto Company Value Sees $8 Billion Evaluation, Tiger Global To Invest $500 Million USD
Tiger Global to Invest $500 Million USD in Coinbase, $8 Billion Evaluation
However many problems Coinbase is facing right now among the crypto industry, there is good news for the company. Institutional investors are very interested in it and Tiger Global is set to invest half a billion dollars in the company, which could elevate its value to an incredible $8 billion USD. This established Coinbase as the “Crypto Unicorn” of the market.
According to the reports from The ICO Journal, Coinbase is set to get the investment from Tiger Global, which will be used as way to cash out some early investments and to grow its fund.
“Coinbase is finalizing a deal that would value the company at about $8 billion, a transaction that would make Coinbase one of the highest-valued startups in the U.S. and help further legitimize the entire cryptocurrency industry.”
While some of the money will be used to buy out existing shareholders, most of it will be used to invest in the company. The reports indicate that Coinbase is talking to investors about a secondary stock sale that could allow existing investors to cash out from the company without having to warn deal-makers and shareholders.
“The company, which has disclosed that it is profitable, has been talking with investors for almost all of 2018 about a secondary stock sale that would allow existing investors to cash out without the company necessarily raising new, fresh money for itself. Inbound interest was so high at one point that the company issued a stern warning to dealmakers to back off from the company and its shareholders.”
This means that Coinbase is profitable in the middle of the bear market, which proves that the company has the potential to grow a lot. If the whole market is down 70% to 90% and it is still attracting a lot of investors, there is certainly a huge future profit waiting to be seized.
While we do not know whether Coinbase will grow a lot or not, Tiger Global is betting $500 Million on it, so that’s a good indication about the future of the company.
Coinbase is adding new products to its line like a crypto ETF like product, institutional services and more, so when the next bull run begins, the company is set to basically swim in money as the profits appear.