Coinbase Set To Go Public After Signing Form S-1 With The SEC

Coinbase Set To Go Public After Signing Form S-1 With The SEC

In an official press release by the one of the world’s leading cryptocurrency exchange, Coinbase, it confirms that the exchange is now set to go public after filing a draft registration statement on Form S-1 with the SEC. The filing was done in confidentiality, and the full details about the new update are not fully known to the public. It is expected that the exchange will proceed with the process underground and will hint the public when it finally materializes.

In an official tweet released by the exchange, it expected the Form S-1 to become effective and for Coinbase to complete a public offering after the SEC completes its review process, subject to market and other conditions. The tweet also informed the exchange’s customer that it is currently not selling any securities for now.

Coinbase is restructuring its team to accommodate the new plan

It is normal for changes to occur in organizations, especially in large ones like Coinbase, who always aim to expand. The exchange in a bid to fully activate its plan has recently made some changes to its Board of Directors. The company has appointed Kelly Kramer, the CFO of Cisco, to its board in a bid to foster innovation.

In the same vein, the exchange had also promoted Andreessen Horowitz, the Co-founder of Marc Andreessen from being a board observer to now a full board member. This board reshuffling is normal for a company whose current valuation rose from $8 billion in 2018 to about $28 billion, according to Messari. Analysts widely expect that if the valuation of Coinbase would soar high when it eventually goes public.

Coinbase might be leading the way for others to follow

The company is the largest exchange in the US and as expected, being a big beneficiary of the surge in trading volumes of the cryptocurrency market. A famous analyst Larry Cermak on his Twitter page tweeted that “This is almost poetic. The same day Coinbase filed confidential S-1 ahead of IPO, Coinbase also had the second-highest daily volume in existence. The timing couldn’t be better. The highest day on Dec 22, 2017, with $3.36B and yesterday the second highest at $2.92B”.

The bull run being enjoyed by the exchange is propagating it to go public, a move which is set to see others follow. The executives of Ripple, a US blockchain startup, have previously stated that the company has ambitions of going public. CEO of Ripple, Brad Garlinghouse confirmed in January that he expects his company to go public soon.

Brad concedes that his organization will neither be the first, nor the last to go public, as he expects them to be on the top side amongst the major exchanges in the world. Ripple and Coinbase will not be the only exchanges to go public in the next few months, as analysts are predicting a few more exchanges to join the Crypto Exchanges.

David Pražák