Coinbase to sell shares privately ahead of its Initial Public Offering

According to recent reports, the San Francisco-based crypto exchange, Coinbase, is ready to sell stock on Nasdaq’s private market ahead of the initial public offering (IPO). On Friday, Coinbase reportedly notified shareholders via a text message, claiming that they will receive information about the private sale this week.

The message:

“On Monday, January 25 at noon PT, you will receive an email from the Nasdaq Private Market with details, including how you can access the market, what shares are eligible for trading, and how the market will function.”

Although the IPO’s date is still unknown, the crypto exchange already filed a registration for an Initial Public Offering to the US Securities and Exchange Commission in December 2020. This was following its resolve to embrace regulation and try its best to be in the good books of lawmakers. Additionally, most privacy coins associated with crime are unavailable on the platform, and it has a strict Know-Your-Customer policy.

Coinbase is the biggest crypto exchange in the United States and one of the largest trading platforms worldwide. The company also revealed in its end-of-year report that it holds $90 billion AUM in cryptocurrencies.

Coinbase pre-IPO tokenized stock sees significant demand

Rumor has it that Coinbase will leverage the well-known financial institution, Goldman Sachs, to lead the Initial Public Offering. The Coinbase pre-IPO tokenized stock, CBSE, is also one of the largest tokenized stock markets on FTX. At the time of publication, the pre-IPO tokenized stock was trading around $279 per unit.

There have been several predictions regarding Coinbase’s estimated value after the IPO. An analysis from Messari, Mira Christanto, asserts that Coinbase could be valued at $28 billion, while research compiled by The Block estimates that the company could reach a $70 billion valuation.

That, notwithstanding, we want to know your thoughts about Coinbase selling shares privately. Let us know what you think about this in the comment section below.