US-based cryptocurrency exchange Coinbase Inc. has kicked off its plan for a stock market listing that could come as early as this year.
The crypto community is seeing this as a bullish narrative for space, which has already started to record substantial gains.
“I mean strategically speaking, now be a good time to kick off bitcoin into a new bull run if Coinbase had any say in the matter,” said a trader.
We got our bullish narrative for the next few months.
Whether if it's bullish or not on crypto you judge yourself, one thing is for sure, Coinbase is going to make some headlines in the financial market.
— ₿itBit (@BitBitCrypto) July 9, 2020
First Major US Crypto Exchange to Go Public
If the US Securities and Exchange Commission (SEC) greenlights this, which has been dragging a Bitcoin exchange-traded fund (ETF) for the past year, it will further help crypto go mainstream.
The first US-based, national exchange-listed Bitcoin derivative. https://t.co/TtWigp4o7f
— Qiao Wang (@QWQiao) July 9, 2020
As per the sources, 2012-founded Coinbase would apply for the listing later this year or early next year as the company hasn’t shared the intention to go public with the SEC but has been in talks with law firms and investment banks.
The company is reportedly exploring going public via a direct listing instead of an IPO. This move, if made, would mean Coinbase doesn’t have to sell new shares, and existing investors won’t be bound by lock-up restrictions. As such can divest their holdings anytime.
Increasing the Political Clout
The San Francisco-based company that involves investors like New York Stock Exchange, BBVA, and former Citigroup Inc CEO Vikram Pandit, just yesterday announced that it had hired Facebook deputy general counsel Paul Grewal as its chief legal officer.
A prominent figure in Silicon Valley, according to Fortune, “carries a lot of weight in legal circles,” and this addition will help Coinbase “increase its political clout.”
Grewal has previously presided over high profile cases between Apple and Samsung, and Google and Oracle only to join FB in 2016. At Coinbase, he will preside over the company's global legal operations.
“Paul will also lead the team’s continuing work to partner with financial services regulators, contribute to the development and rollout of innovative, regulated products and services, and support the company’s global growth and regulatory strategy,” said Coinbase in a blog post.
Grewal is replacing Brain Brooks, who left Coinbase in May to become the acting head of the Office of the Comptroller of the Currency.