Coinbase Will Announce IPO Soon, CNBC Crypto Trader Host Affirms
The largest crypto exchange in the United States, Coinbase, might be doing something new. Ran Neuner, which works as the host of the Crypto Trader show on CNBC Africa, has recently tweeted that Coinbase will have an Initial Public Offering (IPO) tomorrow.
CNBC Cryptotrader exposes details of the Coinbase IPO raise tomorrow on a Cryptotrader exclusive. pic.twitter.com/YG4UOP3ju8
— Ran NeuNer (@cryptomanran) October 25, 2018
This is huge news as Coinbase is one of the most relevant companies in the market and it is about to go public if you believe the commenter. According to Neuner, Coinbase has now about 25 million users and about 600,000 of them are actively trading on the platform at the moment.
With over 7 million accounts with funds, Coinbase has reached some important milestones and this might be just the right time for starting an IPO.
The original source of the story was not disclosed, but it is believed that the company is worth about $8 billion USD now despite all the drop in volume during 2018 as the bear market is slowly eating the crypto market’s profits away. This shows that the company possibly had a significant drop in quarterly revenue recently but it also seems to be in a good shape overall.
Our information is that Coinbase had a revenue of $450 million USD in the first quarter and it went down to $90 million USD in the third quarter of the year. From this revenue, 80% came from the consumers and only 15% from institutional accounts despite the efforts from the company to secure more investments from them.
IPO Is Still Unconfirmed
While the possibility of an IPO is real, it is important to know that it is also unconfirmed at the moment as Coinbase has not directly talked to any media outlet so far to actually affirm whether it will have its IPO or not. Rumors are that the company will close a $500 million USD funding round soon.
Asiff Hirji, Coinbase’s president, has hinted on an IPO in late 2017 but has been silent for quite some time since then. He affirmed at the time that it would certainly be in the interest of the investors but that there is a lot of doing before it is a possibility.
Will the IPO happen? We will surely find out soon.