The cryptocurrency platform Coinbase Global, Inc. released its preliminary first-quarter revenue numbers Tuesday that showed a record first quarter. Revenue for the first three months of the year topped $1 billion, more than the company made in all of last year, while quarterly profits approached $1 billion.
Coinbase is expected to go public through a direct listing on the Nasdaq on April 14.
As of the first quarter, the company says it had 56 million verified users which equates to an 11.3% share of the cryptocurrencies market. Revenue in the first quarter jumped to $1.8 billion from $190.6 million in the same quarter last year. (The company advises that the results are preliminary and unaudited.) Meanwhile, Coinbase said its net income grew to between $730 million and $800 million from $31.9 million last year. First quarter trading volume equaled $335 billion with quarterly revenue topping.
Coinbase is an online platform used for buying, selling, trading, transferring and storing crypto currency. Its popularity mimics the rise of bitcoin which has exploded over the last year, up an estimated 700% while ethereal has soared by more than 1,100%.
Part of the reason for the rise of bitcoin is explained by economists and market watchers that fear inflation in the U.S. dollars, while some investors are seeking ease of transaction and privacy.
Coinbase is expected to see a favorable market valuation with estimates between $68 billion and $100 billion when it goes public. Some investors view it as a way to be “in” the bitcoin space while not physically buying bitcoin itself. For more on bitcoin, check out some of Trish Regan’s writings on the crypto currency here:
- Bitcoin Shatters Record. Now What?
- The Bitcoin Gold Rush, What’s Fueling the Rise?
- Elon Musk Bets Big on Bitcoin
- Authorities Sound Alarm on Cryptos: ‘You Could Lose It All’
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