Garry Tan, a prominent angel investor and the founder of Initialized Capital, was one of the first investors to provide seed money to Coinbase eight years ago.
Less than a decade later, and after today’s highly anticipated Nasdaq listing for Coinbase’s COIN stock, Tan’s 2013 investment of $ 300,000 in Coinbase is now worth $ 2.4 billion.
Coinbase debuted on the Nasdaq on April 14 for $ 381 per share, making it one of the most hyped listings in the US stock market of the year.
How did $ 300,000 become $ 2.4 billion?
In 2013, when Tan invested in Coinbase, it was unclear whether Bitcoin would be recognized as a global asset and an established store of value.
At the time, there weren’t many reputable exchanges, and the few that existed were often hacked. Tan’s investment took place in front of the landmark Mt. Gox hack that stole billions of dollars worth of BTC.
Even after launch, Coinbase has not always been on an upward trend. According to Coinbase co-founder Fred Ehrsam, the company faced numerous hardships from 2014 to 2017.
Over time, crypto grew, just like the company. A simple #Bitcoin wallet evolved into individual and institutional products to support a thriving crypto economy. 2 nerds who met on the internet (yes, @brian_armstrong and I met on @reddit) turned into a 1000+ company. There was severe hardship. In the 3 years between 2014 and 2017, the outside world thought crypto was dead. More than a third of employees left. Yet crypto continued to build . @ ethereum came on the scene showing that crypto-native applications were possible, opening up a whole new world of possibilities. ”
Even if the offer doesn’t impress, Coinbase has tantalizing financial data
Coinbase is the first publicly traded major cryptocurrency exchange in the US stock market and its availability on Nasdaq now provides mainstream investors with exposure to the crypto sector. Even if the listing doesn’t impress on day one, the company still has strong financial data and user statistics.
1) Today a stock exchange will list a stock exchange.
One of them:
– works 24/7
– a list of innovative assets
– allows users to get on board
– has a mobile app, website and API
– made $ 1 billion last quarter
The other is NASDAQ.
– SBF (@SBF_Alameda) April 14, 2021
Coinbase made $ 1 billion in the past quarter and has more users than any financial institution in the US apart from JPMorgan, making it a very attractive transaction for investors in the traditional financial market.