Coinbase – The Future of Finance
Coinbase’s Big Plans Ahead
What is Coinbase?
Coinbase is well known in the cryptocurrency realm as the trusted unicorn of an exchange for Bitcoin, Ethereum, Bitcoin Cash, and Litecoin. Coinbase allows people to purchase cryptocurrencies with FIAT making them a frontrunner for being the behemoth company/exchange within the crypto realm. According to Google Coinbase eclipsed revenue of $1,000,000,000 in 2017. Any young company eclipsing the Billion dollar mark is a huge milestone, but with crypto being in its infancy currently, one can only imagine the potential future revenue for such a unicorn company.
As mentioned above Coinbase currently has 4 cryptocurrencies for purchase. On July 13th, 2018, Coinbase announced via tweet that they are “exploring” the addition of additional cryptocurrencies. The cryptocurrencies they are planning potential support for are; Cardano ($ADA), Basic Attention Token ($BAT), Stellar ($XLM), ZCash ($ZEC), 0x ($ZRX), and Ethereum Classic ($ETC). Ethereum Classic support was announced via tweet as well on June 11th, 2018, and seems to be imminent whereas the other listed coins are not a surefire “guarantee” from Coinbase.
Today we are announcing that we’re exploring the addition of the following assets to Coinbase: Cardano (ADA), Basic Attention Token (BAT), Stellar Lumens (XLM), Zcash (ZEC) and 0x (ZRX). https://t.co/qoECyR0V1f
— Coinbase (@coinbase) July 13, 2018
We are pleased to announce our intention to add support for Ethereum Classic (ETC) on Coinbase in the coming months.https://t.co/bUG4iLUr2J
— Coinbase (@coinbase) June 12, 2018
Coinbase Index Fund: This will be a basket of different crypto-assets for purchase (similar to an ETF)
Coinbase Prime: This will be Coinbase’s suite of tools and services for institutional investors (a $20,000,000,000 hedge fund already has already signed up for the service)
Coinbase Pro: Pro will be replacing GDAX as a more advanced trading utility for advanced users
Coinbase Custody: Custody aims to give users the option for safe and secure storage of digital assets (Coinbase will be an approved bank someday in the near future)
Coinbase had some huge news regarding their pursuit of becoming a regulated security tokens exchange earlier this week. The announcement was regarding their approval for the purchase of Keystone Capital Corp., Venovate Marketplace, and Digital Wealth LLC. This news is big for Coinbase as they are slowly gaining the capability to legally offer security tokens to all of its users.
Today we’re excited to announce that we’re on track to become a US-regulated blockchain securities trading venue. We believe this is an important moment not only for Coinbase, but the entire crypto ecosystem. https://t.co/3grNDa6l9Z
— Coinbase (@coinbase) June 6, 2018
What is a Security Token?
Quite simply, a security token is the future of ownership in companies. Security tokens are a digital asset tied to ownership in a company (same as a stock) with legal details and KYC baked into it. But, what makes security tokens so innovative is the numerous benefits of security tokens vs. stocks. Overall security tokens are much more efficient as ownership transfer of the assets goes from a grueling time consuming complicating process to simply sending the token to another user almost instantaneously. Security tokens are also regulated adding to the safety of the security token offerings. Governance of the tokens regarding all details will be held on the blockchain’s immutable ledger making dividends or any type of additional features of a stock autonomous and trustworthy. Currently, Polymath Network is the frontrunner for creating the security token protocol for the near future.
Polymath Co-Founders Trevor Koverko and Chris Housser in Tokenize The World: A Security Token Documentary
Part 2: How Security Token Platforms Actually Workhttps://t.co/xo7zBNH5V4
— Polymath (@PolymathNetwork) July 13, 2018
Why are these new additions important?
These new additions to Coinbase will help propel cryptocurrency mainstream with all of the additional features. Currently, Coinbase has roughly 13 million users; one can speculate that the addition of assets, features, and security tokens should help continue their impressive growth in the number of users immensely. Security tokens should start disrupting the IPO scene with STK offerings very soon, following the success of this might trigger the move from established companies to use security tokens as opposed to the inefficient stock system in place. To put things in perspective, the current total market capitalization of crypto-assets is around $285 billion, while the market cap of 1 company, Apple, is roughly $941 billion. Buckle up, this should be a ride for the history books. As Anthony Pompliano would say, “the virus is spreading”.
Image Source: Coinbase.com