Coinbase reported significant user growth before IPO

bryant.coleman

legendary

Activity: 3766

Merit: 1217

Quote from: jaysabi on April 17, 2021, 05:09:10 PM

If you bought bitcoin and aren't a day trader and are just content to hold, you wouldn't have a reason to be a monthly active user because there's no reason to log into your Coinbase account. I expect there is a good number of people who haven't bought more bitcoin in years at this point and are just content to let what they have sit in their Coinbase account.

You are right, but how many of the users would keep their coins in an exchange like Coinbase? Every now and then we are hearing about exchange hacks and I myself has lost good number of coins when exchanges such as Wex.nz and Cryptopia went down in the past. And if they are keeping their coins in personal wallets, then there is no guarantee that they will use Coinbase to sell those coins. I would also say that the ratio of active users to the total number of registered users sounds low.

jaberwock

legendary

Activity: 2660

Merit: 1074

Quote from: condoras on April 17, 2021, 06:57:57 AM

I believe that all the exchanges want to get into more "fiat" roads. Coinbase show from the start that will move to specific areas regarding markets and after their NASDAQ entry people just follow. They are the first after all. Not to mention that Elon Musk bought "his" BTC from them and this is pretty much enough advertisement as the hype of almost all the major coins.
At least Coinbase gave ~170.000 shares to its staff/ employees... Grin

I also believe that going public made it look more professional and more importantly more legal. Believe or not there are still people who think that bitcoin is a gray area in law, it is not illegal but it is not legal neither, it is just not in the law at all. We know the reality, it is in the law, it is legal, it is regulated, everything is perfect, a company can't get that big without doing something legal, so we all knew the real answer, but there were tons of people who didn't know if it was legal or not.

With an IPO you are basically telling the whole world, government and it is financial branches all checked from bottom to top every single data there is financial or not, and couldn't find anything illegal, so we are going to be open to public now, and saying that made a lot of people feel more comfortable using it. That is at least what I believe some parts of this was.

Lucius

legendary

Activity: 3234

Merit: 5637

Blackjack.fun-Free Raffle-Join&Win $50🎲

Quote from: Tytanowy Janusz on April 17, 2021, 11:57:09 AM

All insider and early investors, including coinbase CEO - ARMSTRONG BRIAN went all out. They dumped their shares in first few days of trading... Damn this looks super pessimistic not only for COIN investors but also for whole crypto industry. If our first company that went out public do it only to run away with money what testimony this gives about the entire industry.

Bad news, but not unexpected although many are surprised that such thing happen. Coinbase is a profit-making company, and cryptocurrencies are what make that profit - now they've taken another perfectly legal opportunity to make even more profit. - but I don't see the stock price falling, it's still above $340. It may be too early to say that this will end badly, but one thing is for sure - this has not proved to be big news that will push the price up - in the short term yes, but a drop from $65k to $52k (and it is not over yet), is not something it's nice to see (at least for inexperienced investors).

jaysabi

legendary

Activity: 2044

Merit: 1115

★777Coin.com★ Fun BTC Casino!

Quote from: Sithara007 on April 16, 2021, 11:06:03 PM

Coinbase claims to have an userbase of 56 million verified users. So first of all, it is really surprising to know that less than one-tenth of them can be described as "monthly active users". Why should anyone go through the rigorous KYC process, if they don't want to trade regularly (at least once in a month)? One reason may be that Coinbase is quite old (in terms of crypto). It was founded in 2012, and a lot of the users from those days may no longer be active now. I am sure that the ratio of active users to registered users will be much better for Binance.

If you bought bitcoin and aren't a day trader and are just content to hold, you wouldn't have a reason to be a monthly active user because there's no reason to log into your Coinbase account. I expect there is a good number of people who haven't bought more bitcoin in years at this point and are just content to let what they have sit in their Coinbase account.

arallmuus

legendary

Activity: 2562

Merit: 1414

Quote from: Tytanowy Janusz on April 17, 2021, 11:57:09 AM

Bad news for everyone who belived in COIN:

https://www.nasdaq.com/market-activity/stocks/coin/insider-activity

All insider and early investors, including coinbase CEO - ARMSTRONG BRIAN went all out. They dumped their shares in first few days of trading... Damn this looks super pessimistic not only for COIN investors but also for whole crypto industry.

Well considering that this has always been the crypto cycle so far, I dont feel surprised at all. Most of the ICO in crypto ended up being dumped after it was listed on exchange . Most of the COIN's early investor are probably crypto enthusiast as well so no doubt that they probably dumped those shares after the price took off

Quote from: The Sceptical Chymist on April 17, 2021, 12:21:45 PM

Quote from: fiulpro on April 17, 2021, 12:09:49 PM

I do think the major factors contributing to this growth are :
ATH

All of those are legitimate factors, and I'd add that there looks to be a lot of new individual investors getting into the crypto market. Most of them I'd bet are pure speculators looking for short-term profits, but either way I wouldn't discount their contribution to both Coinbase's growth and to the surge in crypto prices.

Coinbase is just one of the gateway into crypto market like many other exchange but most of the new users probably lives in US otherwise it would be absurd to register and use coinbase ( or some new user might feel that it is safer to use coinbase because the stocks are listed in Nasdaq )

tyz

legendary

Activity: 3360

Merit: 1533

Quote from: bittraffic on April 15, 2021, 07:40:14 AM

I also like the idea that it's not just the Chinese exchanges that are dominating the market such as Binance.

Since when is Binance a Chinese exchange? As far as I know Binance had a Chinese founder but is now officially based in Malta or Cyprus (Europe), or did I miss something?

Tytanowy Janusz

legendary

Activity: 2156

Merit: 1622

Quote from: Anonylz on April 17, 2021, 12:17:33 PM

And here I am thinking I have missed out on a good opportunity to own a share in a reputable exchange, that is not certainly a good way to start in the stock market, they really downplay the investors who trust in the company and the team, why so pessimist on the first few days, that means they have no confidence their shares will survive the market for long, glad I didn't make a move eventually.

It was never a good oportunity at this price. Everything above 100$ is way to much for coinbase. We already discussed it here. But now... even 50$ may be to much. damn I feel so bad that nasdaq is closed for weekends. I'm used to crypto 24/7/365. Can't wait to see opening price.

The Sceptical Chymist

legendary

Activity: 3528

Merit: 7005

Top Crypto Casino

Quote from: fiulpro on April 17, 2021, 12:09:49 PM

I do think the major factors contributing to this growth are :
ATH
Companies now investing in bitcoins, like major ones.
Government finally trying to establish a bridge between them
Pandemic not getting knocked out anytime soon , just look at the situation in India.

All of those are legitimate factors, and I'd add that there looks to be a lot of new individual investors getting into the crypto market. Most of them I'd bet are pure speculators looking for short-term profits, but either way I wouldn't discount their contribution to both Coinbase's growth and to the surge in crypto prices.

Anonylz

hero member

Activity: 2562

Merit: 577

Quote from: Tytanowy Janusz on April 17, 2021, 11:57:09 AM

Bad news for everyone who belived in COIN:

https://www.nasdaq.com/market-activity/stocks/coin/insider-activity

All insider and early investors, including coinbase CEO - ARMSTRONG BRIAN went all out. They dumped their shares in first few days of trading... Damn this looks super pessimistic not only for COIN investors but also for whole crypto industry. If our first company that went out public do it only to run away with money what testimony this gives about the entire industry.

And here I am thinking I have missed out on a good opportunity to own a share in a reputable exchange, that is not certainly a good way to start in the stock market, they really downplay the investors who trust in the company and the team, why so pessimist on the first few days, that means they have no confidence their shares will survive the market for long, glad I didn't make a move eventually.

istiak2277

member

Activity: 728

Merit: 19

KUWA.ai

Quote from: Sithara007 on April 16, 2021, 11:06:03 PM

Coinbase claims to have an userbase of 56 million verified users. So first of all, it is really surprising to know that less than one-tenth of them can be described as "monthly active users". Why should anyone go through the rigorous KYC process, if they don't want to trade regularly (at least once in a month)? One reason may be that Coinbase is quite old (in terms of crypto). It was founded in 2012, and a lot of the users from those days may no longer be active now. I am sure that the ratio of active users to registered users will be much better for Binance.

I also have more than one account there with one verified account. I do not use any of them now because I get better service and security from other service providers. A centralized wallet like coinbase can freeze its user's accounts for no reason. Many people just do not like this kind of threat or limitation that's why many do not use coinbase anymore.

fiulpro

hero member

Activity: 1890

Merit: 831

I do think the major factors contributing to this growth are :
ATH
Companies now investing in bitcoins, like major ones.
Government finally trying to establish a bridge between them
Pandemic not getting knocked out anytime soon , just look at the situation in India.

Now there are even more things that have genuinely caused all this interest suddenly in bitcoins which have gained a lot of followers overtime and the companies like Coinbase is doing everyone a favour by expanding their business. I do hope they for sure try and improve the loose ends and then only move forward since the more they play on the bigger ground the more they will have to loose.

Tytanowy Janusz

legendary

Activity: 2156

Merit: 1622

Bad news for everyone who belived in COIN:

https://www.nasdaq.com/market-activity/stocks/coin/insider-activity

All insider and early investors, including coinbase CEO - ARMSTRONG BRIAN went all out. They dumped their shares in first few days of trading... Damn this looks super pessimistic not only for COIN investors but also for whole crypto industry. If our first company that went out public do it only to run away with money what testimony this gives about the entire industry.

Kittygalore

member

Activity: 868

Merit: 63

They did go public so it is understandable that they have an increase in users. I am sure that almost any company that goes public is going to attract more people, it is a strange thing if that wasn't the case because that spells that the company isn't going to grow anytime soon.

condoras

legendary

Activity: 3038

Merit: 1104

This is what I do. I drink and I know things.

Quote from: Kakmakr on April 17, 2021, 06:43:55 AM

Let's just hope Coinbase do not pull the same shit like "Circle" did back in the day, when they kicked the Bitcoin users in the teeth and they turned into a Fiat Bank. Roll Eyes

It is actually natural for an Exchange to see a huge increase in the "signups" before the IPO, because most of those people were riding on the hype wagon and expecting huge profits when it went through. I guess a lot of them did make some profits, because the Bitcoin price and some other Alt coins got a nice boost. Wink

That's true but Circle didn't buy Poloniex as well?
I believe that all the exchanges want to get into more "fiat" roads. Coinbase show from the start that will move to specific areas regarding markets and after their NASDAQ entry people just follow. They are the first after all. Not to mention that Elon Musk bought "his" BTC from them and this is pretty much enough advertisement as the hype of almost all the major coins.
At least Coinbase gave ~170.000 shares to its staff/ employees... Grin

Kakmakr

legendary

Activity: 3542

Merit: 1965

Leading Crypto Sports Betting & Casino Platform

Let's just hope Coinbase do not pull the same shit like "Circle" did back in the day, when they kicked the Bitcoin users in the teeth and they turned into a Fiat Bank. Roll Eyes

It is actually natural for an Exchange to see a huge increase in the "signups" before the IPO, because most of those people were riding on the hype wagon and expecting huge profits when it went through. I guess a lot of them did make some profits, because the Bitcoin price and some other Alt coins got a nice boost. Wink

Lucius

legendary

Activity: 3234

Merit: 5637

Blackjack.fun-Free Raffle-Join&Win $50🎲

Quote from: bitmover on April 16, 2021, 07:24:12 PM

Yes , coinbase is mostly in us while binance is global
Binance supports 46 fiat currencies while coinbase only 3 (USD, EUR, GBP

Perhaps we can conclude that Coinbase is still targeting the markets that have the highest standard of living, and the US, UK and EU definitely fit into that strategy. I think most Coinbase users also come from these parts of the world, while Binance is trying to position itself as a global crypto exchange available to anyone around the world.

However, Binance still does not have a strong enough reputation, and it is certainly not helped by the fact that they are still perceived as a Chinese company - although they have long since moved away from the influence of Chinese authorities and become a global player.

so98nn

hero member

Activity: 2114

Merit: 603

That statement makes me smile! Not the title, but this one: Coinbase made 86% revenue from their fees alone! Guess the total revenue of Coinbase in 2020? It's $1140 million. So crypto users have paid that much in fees alone and I believe crypto market in it's own way is big surprise. Just imagine how much combined fees are being paid on all the exchangers around the globe. So, that much bitcoin or alts are getting stored somewhere or sold etc.

With that kinda money coinbase can do and did miracles with their IPO's, UI, Company, the crew and what not! Their economy will soon grow even bigger considering the current inflow of money on their wallet. Let us not miss the opportunity to invest this time Cheesy

Kong Hey Pakboy

member

Activity: 1120

Merit: 68

Quote from: poodle63 on April 16, 2021, 11:18:34 PM

I personally think that it's the rapid publication of coinbase regarding the IPO that attracts many users into their platform or even increase the transaction more frequently though it's undeniable that bitcoin bullrun also contributes to that since most of people I knew who trying to get into crypto but also lacking of knowledge always trying to start out by using coinbase.
But it's indeed true that if coinbase could expands and compete with Binance it will be very good, the crypto market in my opinion too dominated by binance to the point everything that related to binance whether partnership or something else getting overhyped.

That's what I thought so, the advertising of their IPO made people fllock to them and want to get in while the going gets good. Hopefully half of this people are going to be a mainstay in Coinbase because they are going to contribute to the growth of their stock. If Binance were to launch their IPo and go public, I would bet that they are going to topple this pioneer crypto company.

poodle63

hero member

Activity: 2702

Merit: 510

Leading Crypto Sports Betting & Casino Platform

I personally think that it's the rapid publication of coinbase regarding the IPO that attracts many users into their platform or even increase the transaction more frequently though it's undeniable that bitcoin bullrun also contributes to that since most of people I knew who trying to get into crypto but also lacking of knowledge always trying to start out by using coinbase.
But it's indeed true that if coinbase could expands and compete with Binance it will be very good, the crypto market in my opinion too dominated by binance to the point everything that related to binance whether partnership or something else getting overhyped.

Sithara007

legendary

Activity: 3346

Merit: 1352

Leading Crypto Sports Betting & Casino Platform

Coinbase claims to have an userbase of 56 million verified users. So first of all, it is really surprising to know that less than one-tenth of them can be described as "monthly active users". Why should anyone go through the rigorous KYC process, if they don't want to trade regularly (at least once in a month)? One reason may be that Coinbase is quite old (in terms of crypto). It was founded in 2012, and a lot of the users from those days may no longer be active now. I am sure that the ratio of active users to registered users will be much better for Binance.

Topic: Coinbase reported significant user growth before IPO (Read 165 times)