CoinbaseA leading cryptocurrency exchange is set to go public via direct listing, as the class A common shares of the exchange will begin trading on the NASDAQ stock exchange on April 14, 2021.
In a publication blogging early Friday, April 2, Coinbase announced:
“Coinbase Global, Inc., announced today that its registration statement on Form S-1, as filed with the Securities and Exchange Commission (the“ SEC ”), in connection with a direct public listing proposal of its Class A common shares were declared effective by the SEC on April 1, 2021. Coinbase anticipates that its Class A common shares will begin trading on the Nasdaq Global Select Market under the ticker symbol "COIN" on April 14, 2021. ″.
According to a prospectus available on the SEC's website, 114,850,769 shares of Coinbase's Class A common stock will trade on the Nasdaq Global Select Market.
With this direct listing from Coinbase on NASDAQ, it will become the first cryptocurrency exchange to go public in the United States. The exchange was initially expected to go public in March, but was delayed until April after resolving the charges of incorrect reporting of trading volume and self-trading with the Community Futures Trading Commission (CFTC). Coinbase paid $ 6.5 million to the CFTC "For reckless, false, misleading or inaccurate reports, as well as for laundering operations carried out by a former employee on Coinbase's GDAX platform."
The exchange advertisement its plans to go public in December 2020, as it filed a draft registration statement on Form S-1 with the Securities and Exchange Commission (SEC). According to some sources, Coinbase may be worth between $ 90 and $ 100 billion as suggested by shares on the exchange that reportedly changed hands for as much as $ 350-375 at a private auction in March.
But this will be a direct listing and in a direct listing, no shares will be sold up front, as is the case with an initial public offering (IPO). The price of the company's shares is determined by the orders that enter the stock market.
Coinbase is one of the oldest and leading cryptocurrency exchanges founded in 2012. According to CoinMarketCap, its Coinbase Pro trading platform handles more than $ 3 billion in daily transactions. A successful listing for Coinbase would mark significant endorsement for a sector that has struggled to gain the trust of major investors, regulators, and the general public.
According to some sources, the cryptocurrency exchange Kraken and the cryptocurrency custodian Gemini It has also announced its plans to go public.
