|Nov 02, 2018 12:54 AM||By: Jinia Shawdagor | 1833 Views|
During its latest funding round, Coinbase’s value skyrocketed to $8 billion, jumping the downtrend of crypto prices as for January 2018.
While the value of the cryptocurrency market has declined since the start of 2018, Coinbase, the largest crypto exchange in the U.S., is bucking the trend of the industry it serves. Alternatively, of mirroring the declining prices of digital currencies, the value San Francisco-based wallet and exchange skyrocketed to a shocking $8 billion after its newest funding round.
Despite the bearish market, Coinbase’s interest to investors remains undiminished as the exchange just happily raised $300 million in a recent series E funding round, according to a statement by CNBC. But what is even more surprising is the company’s valuation throughout the round, Coinbase is now an $8 billion juggernaut, an impossible feat considering that the entire market diminished since January this year.
This $8-billion valuation serves a staggering $ 6.4 billion or 400 percent increase in market value in just over a year. During its previous judgment last August 2017, the exchange was only deserving $1.6 billion.
Related to the various cryptocurrencies being allowed by the exchange, only the top three coins have market caps larger than Coinbase’s $8 value, according to TechCrunch. With a market capitalization of $109.9 billion, Bitcoin is still progressing by a wide margin, followed by Ethereum at $20.3 billion and XRP at $17.9 billion. When, Bitcoin Cash ($7.3B), ECS ($4.7B) and Stellar ($4.2B) are now priced lower than the San Francisco-based digital currency exchange.
Coinbase earlier announced that it wants to be the Google of crypto, according to Forbes. Cash from the funding round will be practiced for its plans for global expansion, adding more cryptos into its program as well as creating crypto apps.
Tiger Global Management led the Series E round along with other recognized names in financial circles so as Wellington Management, Y Combinator Continuity, Andreessen Horowitz and Polychain.