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Coinbase announces proposed direct listing
181–190 of 222 posts
Re: Coinbase announces proposed direct listing
#182Earlier quoted context omitted.
This is always how it works. Institutionals always get first dibs (and the middle, and the last)
Not with a direct listing. Coinbase shares would be subject to an auction and the market for them will open at the price where supply meets demand.
How naive you are...the market is rigged against you. Few big boys own(literally)the market. Some crazy retailers tried to switch the places but as we've seen yesterday it's hard to stand up to all of them billionaires, brokers, market makers, hedge funds, billionaires owning brokers and clearing houses as well working against you.
Re: Coinbase announces proposed direct listing
#183Earlier quoted context omitted.
Not with a direct listing. Coinbase shares would be subject to an auction and the market for them will open at the price where supply meets demand.
Institutional investors still win the day here, because Coinbase opened a private secondary market for them this week to buy shares ahead of the IPO.
Yeah, good catch
https://decrypt.co/55136/coinbase-to-launch-secondary-market...
Re: Coinbase announces proposed direct listing
#184My shower thought the other day: How much money would Coinbase have, if instead of building the company they had just bought Bitcoin back in 2012 with their seed money? I think it had dropped to about $7.50 around then.
About $2.6 billion.
Which means selling shovels is still roughly 30x better than buying shovels.
Re: Coinbase announces proposed direct listing
#185Earlier quoted context omitted.
Could you do what Mark Cuban did and work with your brokerage to do sell calls & buy puts around the strike? That would lock in your price for a given amount of time.
should be the other way around - buy calls and sell puts. that said, options usually are available a few days after the ipo, so may not accomplish the objective
If you had a sizable fortune at stake, you'd go to a major financial firm like Goldman Sachs, which handled the collar for Cuban, and they'll build you something custom. Almost any arrangement can be worked out, with a fat fee to go with it.
Re: Coinbase announces proposed direct listing
#186Earlier quoted context omitted.
Not with a direct listing. Coinbase shares would be subject to an auction and the market for them will open at the price where supply meets demand.
Not entirely true - since people had to enter a single point on their demand curve as a price and quantity of shares (instead of their entire demand curve) the market clearing price was artificially low. Hence the price pop on day one. To think about it more in depth - assume I enter a bid of 100 shares at $100. If the market clearing price is $50, I’ll be awarded 100 shares at $50. However, I was willing to buy far…
This is complete bullshit, you can enter your entire demand curve into the market with various bids.
Re: Coinbase announces proposed direct listing
#187Re: Coinbase announces proposed direct listing
#188Earlier quoted context omitted.
If I am willing to buy 100 shares at $100, I may be willing to buy 300 shares at $60. So just because my bid got filled doesn't mean I won't be buying more.
If you're willing to buy 300 shares at 60, but only 100 shares at $100 you can enter two bids: 100 shares at $100 200 shares at $60 This will satisfy your demand position.
If the person has only 18000 though (300 at 60) then if they put in 100 at $100, they'll only be able to buy 133 at 60.
I would still enter two bids; it's just a matter of adjusting how many at each level.
Re: Coinbase announces proposed direct listing
#189Given the hype, the most likely scenario is a > 2X price spike in the first few minutes of trading regardless of the initial market cap ($100B+?). For those of us who believe that, what is the best strategy for purchasing shares ? It's doubtful brokers will allow market orders the previous night since the ticker might not yet exist, and if one places a market order during the first few minutes the cynic in me predict…
Either pre-IPO trading or wait until the dust settles and then decide whether to buy or not.
Re: Coinbase announces proposed direct listing
#190Earlier quoted context omitted.
They are thenselves institutional BTC holders, so I'm not sure if they need to outsource it. Microstrategy is using Coinbase.
That's my point exactly. Traditional stock market buys tons of coinbase cash -> coinbase uses said cash to market-buy BTC with bots driving the price up -> BTC/their crypto of choice is now worth far more. If the market follows their run they end up making far more than they reinvested.
Yeah but what does grayscale have to do with it? Doesn't make sense.