Coinbase became the first publicly traded cryptocurrency exchange valued above $100 billion when it debuted on Nasdaq in April 2021.
Coinbase used a direct listing rather than a traditional initial public offering. Its shares began trading on April 14, 2021, and the company’s opening valuation briefly exceeded $100 billion based on the market price and shares outstanding.
The exchange had benefited from a rapid expansion in cryptocurrency trading and a large increase in retail interest. Coinbase operated as a platform where customers could buy, sell, and store digital assets, while also earning revenue from transaction fees and related services.
The valuation was highly sensitive to cryptocurrency prices and trading activity. Unlike a conventional manufacturing company, an exchange can experience large swings in revenue when market enthusiasm changes. Coinbase’s public listing therefore gave investors a prominent way to buy shares in a cryptocurrency-related business without directly holding digital coins.