Coinbase Hits US$86 Billion ValuationBy MBN Staff | Thu, 04/15/2021 - 11:00
Cryptocurrency fever is far from over. On Wednesday, cryptocurrency platform Coinbase debuted on the stock market and hit a valuation of nearly US$86 billion. That morning, the company's shares opened at US$381 but fell 14 percent from the opening price to close at US$328.28. At one point, Coinbase's market capitalization surpassed US$100 billion.
“Today is a big milestone for Coinbase and an even bigger milestone for crypto. Thank you to our employees and customers for getting us here. Together, we can build the crypto economy and create economic freedom for all”, wrote the company yesterday on its Twitter account.
Today is a big milestone for Coinbase and an even bigger milestone for crypto. Thank you to our employees and customers for getting us here. Together, we can build the cryptoeconomy and create economic freedom for all. Join us for today's events at https://t.co/kki68arv3O $COIN pic.twitter.com/Bvcu9R0otq— Coinbase (@coinbase) April 14, 2021
However, analysts noted, this valuation will not last long. “The correlation to bitcoin will be very high after the stock stabilizes following its listing,” said Larry Cermak, Director of Research at cryptocurrency website The Block. “When the price of bitcoin goes down, it is inevitable that Coinbase's revenue, and inherently the price of the stock, will decline as well.” Coinbase recently reported preliminary results for 1Q21, with revenue rising to US$1.8 billion. This amount is about nine times higher than the amount reported for the same period in 2020. Currently, the platform has 56 million users.
According to Bloomberg data, Bitcoin, the world's largest and best-known cryptocurrency, hit a record high of more than US$64,000 on Wednesday and its value has doubled this year.
More news below:
As companies embrace digital transformation, their search for skilled staff intensifies. Ironhack trains those looking to join the tech sphere. “We tell companies that anyone in any position and in any area can develop technology skills. This is not only a great benefit for the employee not to lose their job, but it is also a great professional advancement that will boost engagement with the company”, told MBN Anahí Flores, Campus Manager of IronHack Mexico.
Televisa-Univision, the new company formed after the merger of both entities, aims to be a strong competitor against Netflix, Amazon and Disney+ in the so-called streaming war. In an interview with Grupo Fórmula this week, Emilio Azcárraga, Executive Chairman of Televisa's Board of Directors, said this merger will allow the company to “launch and consolidate a platform to compete with Netflix, Amazon and Disney.”
Sonect wants to become the largest digital ATM network in Mexico. Banks, as well as businesses across the country, are the gateway to achieve this. In an interview with MBN this week, its Country Manager talked with MBN about the great opportunity that exists in the country for this business model and all those who could benefit from this solution. Read the full conversation here.
From laboratory support to direct contact with patients, tech giants have now made their way into the health sector. Amazon, Google and Microsoft are some leading tech companies dabbling into healthcare and while their participation was limited at first, they have gradually grown their reach. Read more about what these companies are up to in this sector.