Coinbase is Worth at least $100B; Robinhood to Allow Crypto Deposits & Withdrawals; Bitcoin is a $1 Trillion Asset

Hey ?? Blockchain & Cryptocurrency aficionados! Trust you had a wonderful week. This is the best Weekly Blockchain & Crypto Digest thus far. Enjoy!

P.S. Before we dive into what happened in Blockchain & Crypto last week, check out my Connecting the Dots Newsletter, where you will get much more. Every Week (2 January editions are out already)????

Last week (15-20 February) was another BIG week in Blockchain & Cryptocurrency space. Coinbase is worth at least $100 billion, according to Nasdaq Private Market data; Robinhood will allow crypto deposits and withdrawals to get more crypto enthusiasts on board; Bitcoin is now a $1 trillion asset, and other super interesting news and developments.

Without further ado, let us dive into what has happened in the financial technology sector this week. Let’s connect the dots.

Coinbase is Worth at Least $100 Billion

Coinbase stock traded at an implied valuation of $100B this week, according to Nasdaq Private Market data.

Cryptocurrency exchange Coinbase, which is preparing to trade publicly in the next few months, is being valued at over $100 billion, based on the trading of the company’s privately held shares on a secondary market. 

Data from Nasdaq Private Market shows a secondary market this week for Coinbase equity saw an average clear price of $373 per share, which would value the firm at $100.3 billion. This is greater than Intercontinental Exchange, the owner of the New York Stock Exchange.

The Coinbase private market sale allows current and former employees, as well as investors in Coinbase, to take some cash off the table. Around 254 million shares in Coinbase will be outstanding and available to trade when the firm goes public.

It appears that I was too conservative when giving Coinbase’s price tag earlier…

THE TAKEAWAY

Coinbase is undoubtedly one of the most anticipated IPOs this year. Rallying Bitcoin and Ether only adds fuel to the fire… If we believe in the secondary markets, at $100B IPO Coinbase would be the 6th largest publicly traded financial institution in the US. Let that sink in… ??

Robinhood to Allow Crypto Deposits & Withdrawals

On the eve of testifying before Congress, trading platform app Robinhood announced it will soon support cryptocurrency deposits and withdrawals.

In a tweet on Wednesday, Robinhood said it “fully intends” to provide the extra functionality, though no date is provided for when it might be activated. Currently, traders can only buy and sell crypto assets within the app.

It’s interesting to note that the tweet came an hour before Bloomberg published an article alleging Robinhood was the owner of the world’s largest dogecoin wallet. Robinhood stated in the tweet that it “does not currently invest in cryptocurrency or use any customer cryptocurrency” for its own benefit.

THE TAKEAWAY

In retrospect, it was inevitable. Yet, until Robinhood supports individual wallets and crypto keys, it’s just another perma-custodial model seen in PayPal and the likes. It’s good for the start and playing around, but definitely not for the long-term investing of full-time trading.

Bitcoin Passes $58,000 for the First Time

On Sunday, Bitcoin has set a new high of $58,332.36, bringing the leading cryptocurrency's year-to-date gain to over 100% less than two months into the year. It’s now a $1 trillion asset.

The biggest and most popular cryptocurrency is setting new records. Again.

It has surged nearly 88% in the last 30 days alone and has made close to 100% gains year-to-date. At the point of the press, BTC is changing hands at close to $58,000 per coin.

THE TAKEAWAY

There’s simply not enough Bitcoin for everyone. There’s a tremendous demand coming from both retail and institutional investors looking to hedge against inflation. Add the recent Tesla Bitcoin purchase, ever-bullish MicroStrategy and you cannot even follow the new all-time-highs. But how far can it go though? ??

Extra Reads & Quick Bites for Curious Minds??:

• Crypto exchange Coinbase was behind Tesla’s bitcoin buy.
• Nvidia unveils new processor chip built specifically for Ethereum mining
• Christie's has announced it will allow bidders to pay in Ethereum at its sale on February 25, which will feature the work of popular digital artist Beeple. 

??Money Moves??

• Nexus Mutual raised $2.7M in a token sale.

Quote of the Week/??Food for Thought??

Can we see the big correction again? ??

Graph of the Week

Bitcoin has garnered interest from billionaires Elon Musk, Paul Tudor Jones, Alan Howard, and now long-time gold bull Jeffrey Gundlach. The price of the cryptocurrency has quadrupled over the past year and surged through $58,000 this week.

Week in Brief

Coinbase stock traded at an implied valuation of $100B this week, according to Nasdaq Private Market data.

On the eve of testifying before Congress, trading platform app Robinhood announced it will soon support cryptocurrency deposits and withdrawals.

On Sunday, Bitcoin has set a new high of $58,332.36, bringing the leading cryptocurrency's year-to-date gain to over 100% less than two months into the year. It’s now a $1 trillion asset.

Continue reading by subscribing to Connecting the Dots Newsletter. You will receive fresh news about Blockchain & Cryptocurrency with hot takeaways every week (2 January editions are out already!).

P.S. You might enjoy my earlier pieces as well:

?? Making Sense of Tesla's $1.5B Bitcoin Buy

?? Robinhood: Robbing the Poor to Give to the Rich? A Story about the Fragility of the Brand

?? Cutting Through the Noise: Bitcoin Fundamentals & Why it Was Created

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About: I am a business developer, sales professional, FinTech strategist, as well as Cryptocurrency and Blockchain enthusiast. I'm highly passionate about Financial Technology and Digital Innovation, and strongly believe that it will change the world for the better. Apart from my daily job at a global payments startup where I'm leading the company's expansion into Europe, I'm an active member of the FinTech community and a TechFin evangelist.

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