The ICE man is going to pump this so hard. Too bad his wife isn't still on the Senate oversight committee, but it wont matter
Coinbase valued above $100B, ahead of direct listing
51–60 of 305 posts
Re: Coinbase valued above $100B, ahead of direct listing
#52Ah yes, possibly the 5th company that I wished I joined this past 18 months... Historically there were some exchanges that have been hacked. This caused not only the company to go bankrupt but people losing a lot of money. How does coinbase prevent this from happening? This is very much one of the reasons I will never hold crypto (FYI: I've wrote my own Golang flavour of ethereum blockchain and solidity when it first…
TD Ameritrade's 24/5 is the closest we have to this at this time. The volume is quite limiting.
Re: Coinbase valued above $100B, ahead of direct listing
#53I am afraid that we might be on the verge of another dot com level bubble. It's interesting to see how one inflated asset is propping up another. Tesla - which rose by 1000% in 2020, bought bitcoin. Ark Invest Etfs - some of the biggest actively managed etfs, hold significant amount of Tesla, and with the profit generated from Tesla's phenomenal rise, they are investing more on bitcoin. I believe in the future of cry…
Could credit cards not be considered a "hacky patch" or really a layer 2 solution to the slowness of adoption and traditional banking policies?
And they eat up 2%+ fee even for people that wish to pay in cash?
Re: Coinbase valued above $100B, ahead of direct listing
#54Ah yes, possibly the 5th company that I wished I joined this past 18 months... Historically there were some exchanges that have been hacked. This caused not only the company to go bankrupt but people losing a lot of money. How does coinbase prevent this from happening? This is very much one of the reasons I will never hold crypto (FYI: I've wrote my own Golang flavour of ethereum blockchain and solidity when it first…
It's not perfect, but I believe Coinbase uses a combination of cold (offline) storage for most of its coins and insurance for the rest. Also, as you probably already know, people should not hold large sums on exchanges if they can use secure their own keys (and wallets) instead.
> "Coinbase prioritizes the security of our customer's digital currency through a combination of online “hot storage” and offline “cold” storage. Coinbase maintains 98% or more of customer digital currency in cold storage, with the remainder in secure hot servers as necessary to serve the liquidity needs of our customers. All digital currency that Coinbase holds in its online hot storage is insured. If Coinbase were to suffer a breach of its online hot storage, the insurance policy would pay out to cover any customer funds lost as a result."
https://help.coinbase.com/en/coinbase/other-topics/legal-pol...
Re: Coinbase valued above $100B, ahead of direct listing
#55Low interest rates and secular trends justify this I guess?
Low interest rates don't effect whether a stock goes up or down. That is determined by earnings growth. Edit: Peter Lynch agrees with me. Instead of being a passive aggressive downvoting asshole leave a comment. https://youtu.be/UNrMnFM3VvE Edit: Lol, I can't respond to your comments because everyone downvoted my comment and HN rate-limited me. Later.
Imagine thinking fundamentals have anything to do with stock prices.
Re: Coinbase valued above $100B, ahead of direct listing
#56I don't get how everybody is just making a killing right now. What goes up must come down? Are people going to get uber burned? Like somebody who put in 50% of their net worth today, and maybe it drops?
There’s a lot of stimulus so assets are being inflated. It will pop at some point though and yea lots of people will get burned so don’t get too greedy on the ride up!
Stimulus isn't entirely responsible for this. Stimulus is partially offset by COVID losses.
This is a market mania at this point. Everything thinks stimulus is all-powerful at this point, but there's a lot of FOMO going on too.
Re: Coinbase valued above $100B, ahead of direct listing
#57Ah yes, possibly the 5th company that I wished I joined this past 18 months... Historically there were some exchanges that have been hacked. This caused not only the company to go bankrupt but people losing a lot of money. How does coinbase prevent this from happening? This is very much one of the reasons I will never hold crypto (FYI: I've wrote my own Golang flavour of ethereum blockchain and solidity when it first…
TD Ameritrade's 24/5 is the closest we have to this at this time. The volume is quite limiting.
That's interesting, I googled this and I didn't know this existed. Thank you
Re: Coinbase valued above $100B, ahead of direct listing
#58Maybe coinbase stock becomes the next cryptocurrency! One coinbase is one coinbase?
I wouldn't be surprised to see Coinbase stock track bitcoin extremely closely.
Re: Coinbase valued above $100B, ahead of direct listing
#59We're just at a point in the economy where it doesn't make sense to hold on to cash. It's just completely losing its value thanks to a long sustained QE.
People are just putting their money into anything as a hedge - real estate, stocks, crypto, gold. Until the value of the at can be sustained and inflation comes back, it's unlikely much else will change.
Re: Coinbase valued above $100B, ahead of direct listing
#60Earlier quoted context omitted.
Not sure what the operating costs look like for Coinbase, but here's some napkin math based on just the Coinbase Pro exchange . They get roughly $200 per bitcoin trade. That's on both sides, so $400 per bitcoin transaction. Today was a slightly higher volume day but they did $1.6B in BTC-USD, so around ~30k bitcoin changed hands. 30k * 400 = $12Million Bitcoin is 1/3 of their volume (they have a lot of other crypto c…
"Coinbase generated $141 million of net income on $691 million in revenue for the first nine months of 2020, according to documents shared with investors." Though 2021 will be higher, will it be 20x higher?
The first nine months bitcoin was at a $10k and below level. They are making considerably more money since the boom took off after that.
I don't know if it will be 20x higher either. Just saying, this makes more sense than say, Zoom, which trades at $120B mcap.
I dont think the volumes will last, but if you look at volumes today and extrapolate further growth, then sure $100B makes sense.