Story: Coinbase faces record lows; 12-05-2022;
Coinbase face heavy losses and records share price drops, under crypto market crash!
After a long-running cryptocurrency market crash, the US based cryptocurrency exchange Coinbase, finds it difficult to maintain its share prices.
Coinbase records its share prices and Quarterly profits fall big time, till the time of writing this, Coinbase has seen its share prices fall almost 27% from a year ago.
The main reason behind the fall is crypto giants like bitcoin, ETH, who have failed to perform and are on down slide since a few months now, bitcoin which saw last year its record high at around $69k price now has fallen by up to 50%.
Due to such failure, entire crypto world is facing its effect. Coinbase, which generate most of its revenues from the transaction fees on its exchange network.
• Founded in June 2012, by Brian Armstrong, who formerly worked as Airbnb engineer. Coinbase allows one to trade in crypto, and is based in US, it serves almost hundred plus countries.
• Share prices on 11 May were at $54.54.
Bloomberg reported that estimates of first quarter revenue slumped to $1.17 billion, while the analysis were expecting that revenue to grow up to $1.48 billion.
Coinbase has long been trying to reduce its reliability on the crypto trading fees, and trying new business models, such as its last week's launch of marketplace for non-fungible tokens (NFT's).
Coinbase also integrated “Coinbase Earn” like reward giving services on its platform, which allow users to earn in crypto as well,
Coinbase's shares have lost its value by more than 70% since late March, the fourth quarter retail monthly traction on users fell to 9.2 million down from 11.4 million in the fourth quarter while total trading volume dropped from 547 million.
In Q4, the company recorded 309 billion revenue earnings, which has fallen 27% from a year ago, and it's also reported a net loss of 430 million in the first quarter.
According to a letter to its shareholders which was accompanied by an earnings release, the company has signalled confidence in the long term, and that they are not worried about short term losses, and said they'd continue to develop “the next generation of crypto opportunities beyond trading.”
“We believe these market conditions are not permanent, and we remain focused on the long-term.”
It also said that it is focusing on the next generation of crypto opportunities beyond trading “while we continue to invest and enhance our core investment platform the application era of crypto is upon us, led by NFD's and decentralised finance, and we are increasingly focusing our efforts on these market opportunities”.
The shares fall 80% low from the 52-week high of $368.90, a share on November 9, the stock dropped 19.5% overnight after the exchange reported a quarter one net loss of US dollar 430 million.
Story: Coinbase Plans to Launch NFT Marketplace ; 10-13-2021;
US crypto exchange Coinbase Plans to Launch NFT Marketplace.
The largest cryptocurrency exchange in the United States, Coinbase on Tuesday announced their entry in the non-fungible token (NFT) marketplace, by the end of this year.
Coinbase, founded in 2012 by Brian Armstrong and Fred Ehrsam, and as of March 2021 was the largest cryptocurrency exchange in the United States by trading volume.
The US based crypto exchange plans to allow users to create, buy and sell digital collectibles by end of year, currently the company allows users to join a waitlist for early access to the offering.
The Coinbase NFT would allow users to mint, purchase, showcase and discover non-fungible tokens on the soon-to-be marketplace, according to the company’s blog post.
The peer-to-peer marketplace, Coinbase NFT, will have “social features that open new avenues for conversation and discovery” and an “intuitive design built on top of a decentralized marketplace,” according to the company’s new marketplace web page.
“Coinbase NFT will help creators, collectors, and fans build community, which aligns with Coinbase’s mission of increasing economic freedom and bringing crypto to more people, in new, exciting and accessible ways,” a spokesperson for the publicly-traded company told Blockworks.