The potential listing could provide a valuation anchor, not only for future IPOs of cryptosystems, but also for native cryptosystem exchange tokens.
After Coinbase crypto currency exchange submitted a draft registration for a public offering or IPO to the US Securities and Exchange Commission yesterday, research company Messari has valued the company at USD 28 billion.
Messari’s model examined the company’s various business segments, such as commercial, custody and debit cards, to arrive at this figure.
Coinbase is one of the largest exchanges in the world, with daily trading volumes of over $1 billion. Custodial assets have increased to $20 billion from $7 billion in 2019.
In a previous round of fundraising in August 2017, Coinbase’s valuation broke the $1 billion mark of Bitcoin Profit, giving it unicorn status. The most recent round gave the company a value of $8 billion in October 2018.
An August 2020 report by the research company Hurun had not updated this $8 billion figure, despite increases in daily trading volume and assets in custody.
In providing his latest valuation of $28 billion, the Messari analyst noted the importance of such a large IPO in the crypto space:
This listing is important even for token valuations, as Coinbase will provide a valuation anchor, not only for future stock lists, but also for crypto exchange tokens.
Meanwhile, an unconfirmed report states that Teeka Tiwari’s Palm Beach Research Group has forecast a future valuation of $242 billion for the DeFi Synthetix platform.
The supposed purchase notice for Synthetix tokens (SNX) estimates „conservatively“ that the decentralized exchange could „have a premium five times higher than traditional exchanges,“ or about ten times Messari’s current valuation for Coinbase.
An objective valuation of USD 2,192 per token would represent a return of more than 41,000% over the current price.
Twitter commentators noted that the company has made similar predictions that have not materialized in the past.