Coinbase, the leading cryptocurrency exchange, plans to take the company public
US-based cryptocurrency exchange Coinbase announced plans to have its shares listed directly on the exchange. The leading crypto exchange made this known in a blog post yesterday as it continues its plans to become a publicly traded company.
“Coinbase Global today announced its intention to become a publicly traded company under a proposed direct listing of its Class A common shares”Reads the blog post. However, the proposed direct listing is made pursuant to a registration statement on Form S-1 with the Securities and Exchange Commission (SEC).
Last month, Coinbase announced that it had filed a draft registration statement on Form S-1 with the SEC. Coinbase added that the Form S-1 would go into effect once the SEC completes its review process, depending on the market and other conditions.
The Form S-1 is not yet publicly available, and Coinbase has not released any information on when its stock would be listed or what ticker is proposed. Coinbase has grown into one of the most successful cryptocurrency companies. The company’s recently updated Info page reveals that Coinbase now controls over $ 90 billion in assets on the exchange and over 43 million registered users.
The cryptocurrency exchange saw an increase in trading volume, and registered users such as Bitcoin and other cryptocurrencies had an outstanding 2020. Institutional investors such as MicroStrategy, Ruffer Investment, and others used Coinbase’s prime brokerage service to sell large numbers of bitcoins in the past few months to buy. This undoubtedly increases the total assets of the exchange on the platform.
Coinbase warned its users that the announcement of the direct listing of stocks does not constitute an invitation to sell or buy any securities. The cryptocurrency exchange added that all offers or offers to buy or sell securities will be made in accordance with the registration requirements of the Securities Act of 1933, as amended (the “Securities Act”).
Instead, Coinbase made this announcement under Rule 135 of the Securities Act. Coinbase is one of the many success stories emerging from the cryptocurrency space. Founded in 2012, the company has quickly grown into one of the leading cryptocurrency exchanges, offering a wide range of trading and custody services to retail and institutional investors.