Coinbase, the most popular US platform to buy and sell cryptocurrencies, has revealed that it had an explosion of incoming capital in 2020. Its assets on the platform currently stand at $90 billion, highlighting a string of bullish events that have unleashed a wave of institutional adoption.
The San Francisco-based firm revealed in November that its custody service controls $20 billion worth of cryptocurrencies, $14 billion of which were accumulated in less than six months.
Bitcoin’s rising mainstream acceptance has resulted in bringing the total number of accounts on Coinbase north of 43 million in over 100 countries.
The mega crypto venue said in ‘Coinbase 2020 review’ that it now operates the largest regulated exchange in the world, and it is continuing to grow. This milestone, which includes its retail and institutional clients, is up 8 million from the figure it revealed back in mid-2020.
However, Coinbase did not say how many of these clients are active users as some of them may be dormant.
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Additionally, Coinbase’s review of the cryptocurrency landscape noted that there had not seen significant investment in DeFi assets from its institutional clients in 2020. Outside a select group of venture capital funds and family offices, this part of the crypto asset class is still in its infancy and remains primarily retail-driven, the exchange said.
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Coinbase recently submitted a draft registration confirming rumored plans to go public with an IPO that analysts estimate could be worth as much as $28 billion.
Strictly compliant with regulations, Coinbase, which has around 500 employees and nearly 35 million users, is one of the world’s most popular consumer-facing cryptocurrency platforms.
Until now, Coinbase has raised a total of $525.3 million. Its latest $300 million fundraising round took place in 2018, and at this time it confirmed its status as the largest digital asset provider of its kind after bringing its market valuation up to $8 billion.
Although there were no exact figures available about its revenues, Coinbase had reported a cracking 2017 thanks to layman interest in cryptocurrencies that users can buy and sell through the app.
As it positioned itself as one of the strongest on-ramps for mainstream crypto-investors, Coinbase’s revenue exploded from $16 million in 2016 to $923 million in 2017, generating a profit of $380 million in the year. However, some estimates suggest that it collected a total turnover of $488 million in 2019, which was significantly less revenue by nearly $520 million from 2018.