It’s emerged that Coinbase facilitated Tesla’s $1.5 billion purchase of Bitcoin over several days.
When a company has a valuation of $77 billion, the finance world pays attention. The business in question? Only the biggest player in the cryptocurrency exchange space in the U.S. — Coinbase.
As Coinbase gears up to trade publicly within the next few months, its impressive worth is based upon its privately held shares trading on a secondary market.
Shares in the largest crypto exchange are rumored to be changing hands on Nasdaq's private market for $303 per share. The implication of share prices accounts for the impressive company valuation — one which surpasses the owner of the New York Stock Exchange, Intercontinental Exchange Inc.
The date of the company’s direct public listing is yet to be disclosed, but a private market running an anonymous order book has started. This allows both the current and former employees alongside investors to take cash off the table. It’s been claimed by sources with knowledge of the offering that about 254 million shares in Coinbase will be available to trade when the company goes public.
It’s just been revealed that Coinbase facilitated Tesla’s $1.5 billion purchase of Bitcoin over several days and helped MicroStrategy to invest in a similar manner. In a case study, Coinbase stated that:
“Using Coinbase’s agency OTC desk and suite of routing and algorithmic trading tools, Coinbase was able to help MicroStrategy acquire its desired position without incurring market impact while beating the market VWAP [Volume Weighted Average Price] in the process.”