Nasdaq launches options trading for Coinbase Global

Less than a week after the largest crypto exchange in the US was listed, Nasdaq will begin trading options for Coinbase Global.

According to an April 19 Reuters report, a Coinbase representative stated that the COIN.O options will start trading on Nasdaq on Tuesday, April 20.

The stock options launch offers investors a new way to bet on Coinbase’s fortunes. Stock options represent the right, but not the obligation, to buy or sell a stock at a specified price, known as the strike price, on or before an expiration date.

The news follows Coinbase’s direct listing, which saw the company’s stock fluctuate between a valuation of $ 429.54 and $ 310 on the first day of trading.

Reuters estimates that Coinbase’s Chief Executive Brian Armstrong sold approximately $ 292 million worth of stock on COIN’s first day of trading. According to documents filed with the U.S. Securities and Exchange Commission, Armstrong sold 749,999 shares in three batches at prices ranging from $ 381 to $ 410.40 per share for total proceeds of $ 291.8 million, but this amounts to less than 2% of its total property.

CoinTelegraph reported that insiders dumped nearly $ 5 billion worth of COIN stock shortly after it went public. Filings on the Coinbase Investor Relations website revealed that a total of 12,965,079 shares were sold by insiders, worth more than $ 4.6 billion at COIN’s $ 344 stock price at close on Friday.

Yahoo Finance reported that the stock is down 22.5% from a high of $ 429.54 on April 14 to a current after-hours trading price of $ 332.75, where it appears to have settled after Monday’s trading session.

COIN market data – Yahoo Finance

On April 20, Coinbase Pro announced that it will add support for new trading pairs for Basic Attention Token (BAT), Cardano (ADA), Decentraland (MANA) and USDC starting April 20. The four assets will be combined with three fiat currencies (USD, EUR, GBP), BTC and ETH, with limited trading functionality to be made available while assessing market liquidity at launch.