Coinbase is being valued at $57 billion by the market with one share trading at $235, significantly more than the $32 per share at an $8 billion valuation during its last funding round.
US’s biggest crypto exchange and broker hit $300 per share at one point, giving it a market cap of $75 billion from its 250 million shares.
That’s about 17% of bitcoin’s own market cap, suggesting the digital gold is undervalued if just one company is worth close to 20% of its total value.
These are futures however, technically expiring after the first close of trading of Coinbase shares.
After which they roll out as tokenized stocks, a recent new offering by FTX in collaboration with the regulated German entity CM-Equity.
The latter says these pre-IPO shares under the ticker of CBSE might not be convertible for actual shares.
However for their other offerings, like Tesla, FTX says they can be converted for the underlying share.
Making these basically tokenized actual stocks, but as Coinbase has not yet IPO-ed, it is just futures for now.
Trading for CBSE has just opened today with more than $2 million already exchanged in volumes on FTX which offers 5x margins.
So giving us a taste of what the first day of IPO-ing might look like with it unclear currently when that might be as Coinbase goes through the process.
The current $60 billion valuation however might be a bit on the high side as Coinbase probably doesn’t handle more than one billion in yearly profits.
Even if we give it two billion, that would make it a market cap of $20 billion based on fundamentals.
Yet Tesla’s P/E ratio has crossed 1,000. So it isn’t very clear just how much the traditional stock market traders and investors care about fundamentals when the dollar debasement continues by the trillions.