IPO OR NO: #Coinbase finances revealed in NASDAQ S-1 // THE 1%: JP Morgan advocates #BTC for investors // SQUARE: Jack buys $170m #Bitcoin // FUTURES: CBOE files for Bitcoin #ETF // MARKET CAP: Cardano hits top 3 #cryptos
Coinbase finances revealed in S-1 NASDAQ listing [26 Feb 2021]
Ending months of speculation, Coinbase has finally filed its Form S-1 with the SEC for a direct listing on NASDAQ. The regulatory document gives us an incredible insight into the company’s finances, including its net loss of $30.4m in 2019 and its net income of $322.3m in 2020, and the $59.5m compensation for CEO Brian Armstrong in 2020. The form also reveals Coinbase’s plans for how it will use the funds it receives from the listing. The company says: “We expect our operating expenses to increase significantly in the foreseeable future and may not be able to achieve profitability or achieve positive cash flow from operations on a consistent basis.“ Read more here.
JP Morgan says investors should put 1% of portfolio into Bitcoin [25 Feb 2021]
Bitcoin has surged fivefold in the past 12 months as more and more institutions bet big on cryptocurrency. Now the world’s largest investment bank is advocating for investors to allocate a proportion of their portfolio to Bitcoin. Strategists including Joyce Chang and Amy Ho wrote in a client note: “In a multi-asset portfolio, investors can likely add up to 1% of their allocation to cryptocurrencies in order to achieve any efficient gain in the overall risk-adjusted returns of the portfolio.” Read more here.
Square doubles down with $170m Bitcoin buy [24 Feb 2021]
Twitter and Square CEO Jack Dorsey has promised to “double down” on his investment in Bitcoin with another $170m cryptocurrency spending spree. “The internet needs a native currency, and we believe bitcoin is it, he said, adding that “By us owning bitcoin, our incentives are aligned with skin in the game.” Square bought 3,318 bitcoins in Q4, The Telegraph reports, adding to the mainstream acceptance of cryptocurrency. Its Cash App payments service has allowed users to trade Bitcoin since 2018. Read more here.
CBOE files to list Bitcoin ETF [2 Mar 2021]
The Chigaco Board Options Exchange, the largest US options exchange, has filed a Form 19b-4 requesting permission from the SEC to list the Van Eck Bitcoin ETF. The form kicks off a 45-day legal review period that could see the first US Bitcoin ETF come to market. In the filing the exchange said investing in Bitcoin through an exchange-traded product would offer advantages for retail investors, including access to better custody. Storing bitcoin safely is a common problem for new entrants to the asset class. Read more here.
Cardano jumps in to top 3 cryptos by market cap [26 Feb 2021]
Ethereum rival Cardano (ADA) has jumped into the top 3 cryptoassets by market cap, posting a near 300% return in February alone. The ADA price breached fresh highs of $1.30 per coin to oust Binance’s exchange token BNB from the top 3 rankings before retracing slightly to $1.23, but retaining its position behind Ethereum and Bitcoin. The blockchain is the creation of Ethereum co-founder Charles Hoskinson. Its stellar recent rise could simply be a reaction to bitcoin’s massive bull market, as the chain has no major DeFi or other applications running on it, unlike other Ethereum competitors, Yahoo Finance noted. Read more here.