Coinbase reportedly to list on Nasdaq instead of the New York Stock Exchange
No. 1 U.S. cryptocurrency exchange Coinbase Global (COINB) has reportedly decided to stage its highly anticipated direct listing on the Nasdaq instead of the New York Stock Exchange, which has played host to other hot direct listings in the past.
Online publication The Block, which covers blockchain, cited two unnamed sources as saying that Coinbase has decided against going to the NYSE, which in recent years handled direct listings for popular tech names like Spotify (NYSE:SPOT) and Slack (NYSE:WORK).
The Block had previously reported that Coinbase had chosen the Nasdaq Private Market as a secondary market for its stock, giving pre-IPO shareholders like employees with vested shares a way to sell before the public listing.
The Block cited an unnamed source as saying that Coinbase’s stock was recently priced at $200 a share on the Nasdaq Private Market, giving the company an implied $50 billion valuation. However, the publication said that’s down from an implied nearly $70 billion value based on a recent $277-a-share valuation for pre-IPO futures on Coinbase stock traded on FTX.
Still, Messari.io, which follows the crypto market, estimated in December that Coinbase would only fetch a $28 billion valuation. And in October 2018, Coinbase merely said a $300 million Series E fundraising at the time valued the firm at “over $8 billion.”
The Nasdaq declined to comment to Seeking Alpha about The Block’s report, while Coinbase didn’t immediately respond to a request for confirmation.
However, Coinbase did publicly announce its plans last week for a direct listing -- word that came shortly before Bitcoin (BTC-USD) hit a new all-time high of about $38,500 on the firm’s trading platform. The popular cryptocurrency has since pulled back, trading at about $33,700 shortly after 5 p.m. ET on Monday, but has still been mostly on a tear of late (see chart below).
Coinbase first disclosed in December that it had confidentially filed an S-1 with the U.S. Securities and Exchange Commission to publicly list its stock in some fashion.
As for Bitcoin, Seeking Alpha contributor Ryan Wilday wrote on Monday that the crypto could be forming a bottom here, and if BTC manages to top $38,620 going forward, a “run to $60,000+ would be in play.”