Riding the Bitcoin Boom... US Cryptocurrency Exchange Coinbase Plans IPO

Documents Submitted to US SEC... IPO Timing and Scale Not Disclosed
Bitcoin Surpasses $23,000 Amid 'Soaring' Trend

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Jeong Hyunjin] Coinbase, the largest cryptocurrency exchange in the United States, is planning an initial public offering (IPO). This move appears to be an attempt to seize the opportunity as Bitcoin continues its soaring run, surpassing the all-time high of $23,000.

On the 17th (local time), according to the Wall Street Journal (WSJ) and others, Coinbase submitted a securities registration statement (Form S-1) to the U.S. Securities and Exchange Commission (SEC). This document contains basic information about the company and its future IPO plans. The SEC must review and accept this document for the IPO to proceed in earnest. Following the news, Coinbase announced on its blog that it is pursuing an IPO.

Founded in 2012 by Brian Armstrong, a former Airbnb developer, and Fred Ehrsam, a former Goldman Sachs trader, Coinbase is the largest cryptocurrency exchange in the U.S., currently serving 35 million users across more than 100 countries. The volume of assets traded on this platform exceeds $25 billion (approximately 27.4 trillion KRW). WSJ reported, "This is the first IPO of a major company with Bitcoin as its core business."

Coinbase did not specify the timing of the IPO or the amount of funds it aims to raise through it. WSJ stated that Coinbase's IPO will be one of the major IPOs next year and that the company was recently valued at around $8 billion. When Coinbase received $547 million in investments in 2018 from venture capitalists Andreessen Horowitz, Union Square Ventures, BBVA Ventures, USAA, and others, its valuation was reported to be $7.7 billion.

The reason Coinbase's IPO news is attracting attention is due to the recent surge in Bitcoin prices. On this day, Bitcoin surpassed the $23,000 mark for the first time in history. At the beginning of this year, Bitcoin was around $7,000, but due to increased demand from institutional investors seeking profitable assets amid the COVID-19 pandemic, it has risen more than 200% in less than a year.

WSJ evaluated Coinbase's IPO as "a milestone showing how alternative currencies have transformed into mainstream assets attracting hedge funds, insurance companies, and others, reflecting the growth of the cryptocurrency market and this company over the years."

This content was produced with the assistance of AI translation services.