Few of my thoughts on Coinbase.

The biggest risk I see here is their business model. Basically making money off fees. Their fees are pretty rape as well, and it's one of the main reasons I moved from Coinbase to Coinbase Pro. That business model is highly fragile because with time competitive pressures will push fees to near zero similar to what happened with brokers.

The second big risk I see is hacking. Coinbase has been hacked before and people have gotten their crypto stolen. It doesn't matter if Coinbase refunds now, it will be material damage to their brand image and it'll essentially be the shareholder on the hook and the company would probably take a 10-15% shave in stock price simply from a big enough hack IMO.

The third is obviously crypto prices. They IPO'd when we have cryptos at ATH. They'll still be able to collect transactional fees but I think if crypto lost some of its hype volumes would go down and they end up collecting fewer fees.

But with all that being said...they've projected 1.8b in revenue for Q1. They are profitable. There are literally bringing on very cool coins/tokens onto their platform which can be very disruptive to certain industries...

At this price under 10x sales... this stock is really not that expensive as people think it is. I initially thought because it jumped from 250 to 380 ish on open it's being hyped and is basically an overpriced momo name, but if they can maintain those types of sales figures and grow them this stock could double easily.

I mean it's currently trading at a cheaper price to sales of Microsoft...and personally, I think Coinbase has better growth prospects, obviously much higher risk than Microsoft though.

I think they are doing it right by excluding things like DOGE & other unproven projects. In the long run, that's very important for brand image and to protect market participants.

Personally, I think, even if Bitcoin fades, platforms like Coinbase are still viable because the underlying crypto/blockchain trend is not going away.

This post was edited by ofthevoid on Apr 15 2021 12:25pm

that's not every DANK of you bro.

Even if coins fall from their recent ATHs, I believe transaction volume will continue to grow or remain the same. The average person is transacting within the $100s of figures; buying fractional shares. BTC 60K, someone is buying $300 worth. BTC 30K, the same person is buying $300 worth. The risk is crypto going to the wayside and losses favor. I personally don't invest in any crypto & COIN is my diversification into that market. Additionally, even if you remove COINs transaction fee revenue, they are still very profitable and trading at lower valuations than many other stocks right now.

Eth on a tear. Doge getting all the hype but eth marching strong

Welp, my daily mining profits are now way higher lol

Wtf doge.

Yeah really lol

I mean I'm not sad that eth is going up too, but man I wish I had had access to buying doge just a few hours ago. Was gonna drop $500 and see what happened but nobody would let me deposit without verifying a bunch of stuff T_T

This post was edited by Thor123422 on Apr 15 2021 08:16pm

you can buy it on RH

I Can't buy in RH until May. Day trading restrictions

smh lol