COINBASE

Analysis of Coinbase share price

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Are you thinking of investing soon in Coinbase Company shares in the crypto-currency sector? In this case we offer you the opportunity to learn more about this American digital currency company through this dedicated article with relevant information and a diversity of data that will assist you in completing pertinent and reliable analyses. We will be taking a close look at the activities of this company and its principal sources of revenue as well as summarising the details of its principal competitors on the market and recent partnerships and we shall conclude with details of the information you will need for completing a fundamental analysis of this asset.

Latest news

Coinbase stock on hold

26/04/2021 - 07h29

We have just learned that trading on the Coinbase share price will be stopped on the Xetra market in Frankfurt from this Friday until further notice. Explanation of this decision.

Elements that can influence the price of this asset:

Analysis N°1

To begin with, we would definitely monitor the growth in the crypto-currencies market worldwide with the entry onto the market of new non-fiduciary currencies or changes in the demand.

Analysis N°2

Concerning demand, we would also be interested in following the news and events of the major companies and groups that adopt crypto-currency solutions as a method of payment for their products and services.

Analysis N°3

It is of course also important to monitor the regulations of this market sector as certain restrictions are imposed by a number of countries and new authorisations obtained in others as these factors could significantly impact the asset price in this activity sector, for better or worse.

Analysis N°4

We would also attentively follow all the news relating to Coinbase, notably concerning this company’s reliability and security. It is clear that the slightest fault or problem at this level could rapidly lead to a fall in this company’s share price.

Analysis N°5

You should also monitor the competition in this sector through the news and events issued and relating to other suppliers and issuers of crypto-currencies and the trading platforms for these assets.

Analysis N°6

Finally, it would also be advantageous to monitor the annual and quarterly financial results of the Coinbase Company and the changes in these over the medium and long term as well as comparing these to the objectives fixed by the group and the analysts’ forecasts.

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General presentation of Coinbase

Clearly an in depth knowledge of the Coinbase Company is also necessary if you want to be able to anticipate its growth and possibilities of improving its position on the stock markets. We will therefore now provide a detailed presentation of this company and its activities.

The American group Coinbase Global Inc. is specialised in the finance technology sector. More precisely this group supplies end to end financial infrastructure and technology.

Its activities are mainly concentrated in the construction of a crypto-economy which is a transparent financial system activated by the crypto-economy and makes a profit from encrypted assets which is a type of asset created using the encrypted blockchain technology.

The platform developed by Coinbase unites over 43 million users as well as 7,000 institutions and 115,000 partners of this ecosystem, they are located in over a hundred different countries and all therefore participate in this crypto-economy.

Concerning individuals, the company also provides a principal financial account that enables individuals to invest, store, spend, gain and use encrypted assets.

The venture funds also benefit from a unique payment platform as well as fund managers and companies with the objective of accessing the crypto-currencies market through an advanced trading and storage technology.

The company also supplies developers, merchants, and the issuers of the assets a platform with the technology and services that enable them to create applications based on encrypted protocols and participate in encrypted networks and thereby safely and securely accept crypto-currencies as a means of payment.

The Coinbase Group currently employs nearly 1,250 people.

Analysis of Coinbase share price
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The major competitors of Coinbase

Now that you know more about the Coinbase Company we shall examine the market environment a little more closely with a presentation of this company’s major competitors on the market, these are the major suppliers of financial services related to crypto-currencies worldwide.

Binance

Firstly, the Binance Group operates a crypto-currency trading platform under its name that is renowned worldwide where users can trade in around a hundred different assets. Over the last few years Binance has become one of the primary crypto-currency trading platforms worldwide in terms of the volume of transactions. Its website was launched in July 2014 and is based in Hong Kong. The company CEO, Zhao Changpeng, became a billionaire in only a few months and was in fact featured on the front cover of Forbes magazine in February 2018. It should be noted that this company’s name is in fact derived from a contraction of the two words Binary + Finance. Its platform enables its users to store, buy, trade and sell crypto-currencies against other crypto-currencies as well as against fiduciary currencies such as the Euro or the dollar.

Kraken

We would also closely follow the American Group Kraken which is also a web based crypto-currency trading platform created in 2011. Its registered office is in San Francisco in the United States and its current CEO is Jesse Powell. This platform also enables the trading of fiduciary currencies such as the American dollar, the Canadian dollar, Euro, Yen or pound sterling against different crypto-currencies such as Bitcoin, Bitcoin Cash, Ether, Litecoin, Dash, Monero or Ripple. Bitcoins can also be traded against Namecoins or Dogecoins.

Coinhouse

This French company was previously known as ‘La Maison du Bitcoin’, it is an online platform as well as a physical trading place for trading in crypto-currencies. On this platform it is possible to buy, sell and store bitcoin, ethereum and litecoin. It should also be noted that Coinhouse is also the first crypto-currency platform to have been registered as a service provider for digital assets by financial authorities such as the AMF in France.

Bitstamp

Finally, it is also important to closely follow the activities of the Bitstamp Company which operates a crypto-currency trading platform and is based in Luxembourg. This platform notably enables the trading between certain fiduciary currencies such as the Euro and the American dollar and certain crypto-currencies such as Bitcoin, Litecoin, Ethereum, Ripple and the Bitcoin Cash. It also enables the user to complete certain operations such as deposits and withdrawals in various currencies. This company was created with the objective of offering a European alternative to the dominant American company at that time, Mt Gox. Although the company trades in American dollars it is possible, through the payment section in Euros in the European Union, to transfer money between American and European accounts.


The major partners of Coinbase

Although it is particularly important to know the principal competitors of the Coinbase Company you should also be aware of its strategic allies. It should in fact be remembered that this company regularly implements various partnerships and alliances with other companies as part of its strategy to increase income and its visibility. Here as follows are two precise examples that will enable you to better understand the challenges and advantages of this type of operation:

Adthink

Firstly, we note a strategic partnership that was implemented in March 2021 by Coinbase with the French digital marketing specialist company Adthink. The objective of this alliance was to enable Adthink to accept payments in Bitcoin, Ethereum and four other crypto-currencies. The Adthink Company therefore implemented CoinBase Commerce which enables traders from around the world to accept payments in digitally encrypted currencies in a totally decentralised manner. Therefore, and in accordance with its B2C activities, Adthink hoped to expand its monetary capacities and diversify its available methods of payment that also include European bank cards, as well as Visa, MasterCard and American Express on an international level and mobile payments directly from the operators.

Cardano

Another strategic partnership was signed in 2020 between Coinbase and Cardano relating to the storage of assets and stipulating that the holders could stock their ADA in the cold storage facilities of Coinbase and thereby enable staking. The CEO of the IOHK Company and developer of Cardano announced this strategic partnership on the second day of Cardano’s virtual summit

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Frequently Asked Questions

Which crypto-currencies can be traded on the Coinbase platform?

The Coinbase Company operates a platform that enables trading between various types of crypto-currencies. This could in fact be described as an online digital currencies portfolio as well as a crypto-currencies trading platform where it is possible to buy, sell and store bitcoin, ethereum, ethereum classic, litecoin, bitcoin cash and other types of crypto-currencies.

When was Coinbase introduced onto the stock markets?

The introduction of the Coinbase Company shares onto the stock markets took place on the 14th April 2021. The share price on this IPO was originally fixed at 250 U.S. dollars per share which represented 65 billion dollars of capital for the group. This event was particularly significant as this amount represents the highest capital for an introduction onto the stock markets for an American company since that of Uber in 2019. This introduction even enabled Bitcoin to gain some points on the stock markets.

How to buy or trade in CoinBase shares online?

There are a number of different ways by which you can invest online in Coinbase shares and the share price. You can of course use a specific support that enables you to buy these assets on the American market to add to your portfolio or you may prefer to speculate directly on the movements in the share price using derived products such as CFDs that are available through numerous reputable online brokers that include this company share price in their range of assets for trading.

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