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Cryptocurrency exchange Coinbase discloses registered shares ahead of direct listing on the Nasdaq

March 17, 2021

Coinbase Global, which operates a cryptocurrency exchange and digital currency wallets, filed an amendment on Wednesday ahead of its direct listing on the Nasdaq. In its latest filing, the company disclosed disclosed the number of Class A shares to be sold by existing shareholders and updated the internal valuation of its stock.

The Registered Stockholders plan to sell up to 115 million Class A shares. The Registered Stockholders represent most major existing shareholders, including management.

During 2020, roughly 2.1 million shares were sold in private transactions at $28.83 per share. While the company had an internal valuation of $54.80 at year-end (increased from $32.94), this year as Bitcoin prices (and trading volumes) have soared, Coinbase shares have changed hands at $200 to $375 during the first quarter of 2021, with a volume weighted-average price of $343.58. The company would command a fully diluted market value of $85.7 billion if it listed its shares at the VWAP, or $13.7 billion if it listed it shares at $54.80.

Coinbase states that it is a leading provider of end-to-end financial infrastructure and technology for the cryptoeconomy, and that its platform enables approximately 43 million retail users, 7,000 institutions, and 115,000 ecosystem partners in over 100 countries to participate in the cryptoeconomy. The company directly integrates with over 15 blockchain protocols, supports over 90 crypto assets for trading or custody, and offers a suite of subscription products and services.

Coinbase Global was founded in 2012 and booked $1.3 billion in revenue for the 12 months ended December 31, 2020. It plans to list on the Nasdaq under the symbol COIN. As a direct listing without a firm commitment offering, there are no underwriters on the deal; instead, Goldman Sachs, J.P. Morgan, Allen & Company, and Citi will serve as financial advisors.