Coinbase, while preparing a direct listing on the Nasdaq, is valued at $943 million – Bits Media

Cryptocurrency exchange Coinbase updated data, specified on Form S-1 for filing with the SEC. The exchange announced registration about 115 Million shares for direct listing on the NASDAQ Stock Exchange.

According to the updated
application, Submitted Coinbase to the US Securities and Exchange Commission (SEC), The exchange intends to place 114 850 769 ordinary shares of class A in the stock market. Their maximum cost is approximately estimated at $943 218 155. However, the date is not indicated in the form, When Coinbase shares under the Coin ticer are placed on NASDAQ.

Coinbase also mentioned the SEC lawsuit against Ripple - at the end of the year the department accused the company and its managers of the sale of unregistered securities for $1.3 billion. Because of this trial, Coinbase was forced to remove all trading pairs with XRP on their platform despite, that this digital asset was a significant part of the trading volume on the exchange. Coinbase said, that the tough measures of the regulator in relation to Ripple can negatively affect the operating and financial results of Coinbase.

According to Coinbase, for 2019 and 2020 years of bidding with XRP totaled $3.4 billion and $17 billion, respectively, And the total income of the exchange from trading by this crypto acting has constituted over the years $27.1 million and $108.6 respectively. As of 31 December 2019 year the cost of XRP, on Coinbase, Called in $485.9 million, but 31 December 2020 the volume of the XRP on the exchange was already in the amount $1.2 billion. Due to the proceedings, Ripple with SEC Coinbase does not expect XRP trade revenue, since trading pairs with this coin are already absent on the exchange. In addition, the volume of digital assets, associated with XRP, It will also be reduced.

Last year, Coinbase has frequent cases of unforeseen failures in the system compared to 2019 year. This is due to the increased trade activity of users. To prevent such incidents, the exchange modernizes its infrastructure, In order to further cope with a large volume of bidding during periods of peak loads.

The form of S-1 also says, that Fred Wilson was appointed to the post of independent director of Coinbase (Fred Wilson) From the venture company Union Square Ventures. Wilson is a member of the board of directors of Coinbase since January 2017 of the year. Coinbase management also reported investments in the Zora Labs trading platform, working on the basis of the Ethereum. The total volume of Coinbase investments in this platform amounted to $ 310,000. Co -founder Coinbase Fred Ersam (Fred Ehrsam) also an investor Zora.

Initially, Coinbase submitted preliminary documents in the SEC in December last year. Then the exchange considered the possibility of a direct listing, and initial public offering (IPO). In January, Coinbase confirmed, What is going to enter the stock market through the direct placement of ordinary shares of class A.