Coinbase at 100B now, thoughts?
Their 2020 revenue was 2.3B, which means a 50 P/S ratio. Their profit margin was 20%, so should be around 250 P/E ratio. I think it is kind of justified given that Bitcoin price has been skyrocketing in 2021, and companies like snowflake have a ridiculous 167 P/S ratio. I think Coinbase’s revenue should at least double again in 2021, and their profitability is splendid, unlike other businesses like DoorDash and Airbnb who are still losing a ton of money. What do you think?
Very bad user support. Many people get locked out for months. Way behind binance etc in terms of features and products. I would not invest in this company at half of that valuation.
Interesting. Do you happen to use Robinhood as well? Curious how do they compare in terms of customer support.
Go figure they just partnered with my company to rollout chat/messaging (bots) to support customers, will be revolutionary for their business
Highest fees of any exchange. Impressed they are able to pull it off but eventually the retail customers they’re duping will get wise and fees and margins will have to come down. Short term I think they could do well post IPO. Long term i’m very skeptical.
They are the most trusted exchange is their secret sauce. They are heavily regulated which gives people especially banks confidence to dump buckets of money on them. You pay for that premium security in fees.
Most trusted by who? They’re one of the least reliable exchanges in terms of outages and they don’t even have very high volumes relative to their competition. Plenty of other regulated exchanges. They have a strong brand and the have somehow cultivated the appearance of trustworthiness. Meanwhile they are ripping their customers off far more than any other exchange and are among the least reliable. The image of trustworthiness is unfounded and won’t last long imo... Could be wrong, but i’m staying away from this one.
It’s a moot point. 100B is pre ipo price. You the retail investor will only get it at 150-200B minimum valuation. You should ask if it’s worth getting it at 150-250B when it opens
$100 billion is secondary market price, the dynamic there is closer to the public market than IPO market where companies try to sell stocks in bulk.
Massively undervalued
Shit compant with shit customer support. Ive been locked for years.
What do you mean 🔒out?
DeFi will kill them soon.
How’s DeFi going to get fiat into your bank account?
DeFi won't provide institutional custody solutions.
As a user, Gemini > Coinbase
Coinbase employees are the real winners
Take a look at what their customers are saying on Twitter and Reddit, they're randomly freezing people's accounts and then don't have any customer service. Will lead to lots of lawsuits and regulator complaints.
Profitable companies with huge growth potential are hard to come by. I'd buy.