Coinbase Global Inc. has just announced that its registration statement filed with the Securities and Exchange Commission (SEC) relating to a proposed stock listing of its Class A common stock was declared effective on the 1st of April 2021.
With this confirmation in hand, the company anticipates that it's Class A common stock can start trading on the Nasdaq Global Select Market by the 14th of April. 2021.
The stock will trade under the ticker symbol "COIN." To obtain a copy, investors can visit the SEC website and use its EDGAR tool. They can also obtain a copy through the Coinbase website from under the "SEC Filings" section.
An Expected Delay
Coinbase had it's Nasdaq direct listing pushed back from an earlier confirmed date in March. However, the delay was anticipated, as direct listings are usually delayed. The delay was due to the SEC reviewing Coinbase's plans. Bloomberg has reported that the SEC has been flooded with Special Purpose Acquisition Companies (SPACs) and Initial Public Offerings (IPOs).
With the registration statement declared effective, Coinbase put out the following statement on Twitter:
"We're happy to announce that earlier today, the SEC declared our S-1 registration statement effective and that we expect our direct listing to occur on the 14th of April, 2021, with our Class A common stock trading on the @NASDAQ under the ticker symbol COIN."
Commodities Futures Trading Commission Also Reaches A Settlement With Coinbase
That's not the only good news for Coinbase. The Commodities Futures Trading Commission (CFTC) also announced that it had reached a settlement deal worth $6.5 million with Coinbase. The settlement puts an end to the company's claims reporting inaccurate transaction data, along with allegations of a former employee indulging in improper trading.
The announcement comes as a significant relief for Coinbase and couldn't have come at a better time, with its registration statement being declared effective.
No Need To Raise Fresh Capital
Coinbase will not be raising any new capital as it is going public through a direct listing. According to Bloomberg, Coinbase's valuation was around $90 billion during its last week of trading on Nasdaq's private market.
The company's direct listing was also the first major one on Nasdaq, with previous listings by Asana, Slack, Spotify, and Palantir all on the New York Stock Exchange (NYSE).
Coinbase also recorded a jump in figures, with the company clocking revenue of $1.14 billion and a net income of $322 million in 2020. Compare this with the previous year's figures when it reported a revenue of $483 million and a loss of $30.4 million. Coinbase also reported a jump of 34% in its verified user base.
Coinbase started in 2012, intending to enable anyone, anywhere, to send and receive bitcoin. Today, Coinbase allows individuals to access cryptocurrencies through an easy-to-use trading platform. Coinbase hopes to create a fair and transparent financial system with cryptocurrency at the heart of it.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.