Following major world manufacturers of mining equipment, Coinbase, the US-based cryptocurrency exchange and wallet, set sights on the traditional method to raise financing through public sale of its shares.

Coinbase targets publicity

Ran Neuner, host of the Crypto Trader show on CNBC Africa, posted an ambiguous message in his Twitter, claiming that he would reveal details of the upcoming Coinbase IPO. He attached two slides to the message with key operational information about the crypto holding. According to them, currently, Coinbase has 25 million registered accounts, 7 million of which have assets on their balances, with 600,000 actively trading on the platform. Coinbase revenues for the fourth quarter of 2017 amounted to $450 million, 80% of which derives retail customers, and 15% from Coinbase's services for institutional investors.

 

At the beginning of October, Coinbase’s market valuation reached $8 billion, allegedly after it finished its last round of financing, during which the company managed to raise $500 million from a group of private investors, Recode reported.

Coinbase president Asiff Hirji first connoted about an IPO in late 2017. When asked about this possibility, he said:

“It is certainly in the interest of our investors… and the most obvious path of Coinbase is to go public at some point, but there’s a lot for us to do between now and then, whenever that date is.”

Multi-billion IPOs from the crypto world

This year, several companies from the cryptocurrency industry announced plans to become public and hold an IPO. The first one was the Hong Kong-based mining equipment manufacturer Canaan Service. It plans to raise $1 billion through an IPO on the Hong Kong Stock Exchange.

Bitmain, the largest manufacturer of mining equipment in the world, also announced its intention to hold an IPO. The chip maker Ebang Communication, which also decided to raise up to $1 billion through an IPO, went the same way.

In July, there were rumors that the blockchain consortium R3, which had earlier been reported to be in a deplorable financial situation, was also allegedly thinking about an IPO.

Some analysts say that tiny revenues amid falling cryptocurrency market forced crypto companies to show interest in IPOs.