A Look At Coinbase and Its Next Moves

Coinbase continues to be a hot onboarding system for many into the crypto world. I even for a time used it myself as it felt secure, a nice UI and what at the time felt like the future for crypto. It's still a great system for people new to crypto to get on and use it however for more experienced people I feel having your own wallet and keys now is critical.

Coinbase shot into the spotlight yet again during the 2021 rally and even went public with their IPO and stocks. Personally I hate when a company goes public as I feel it's more of a money grab for them and nothing really good comes of it once that happens. The company becomes only focused on profits and no longer really cares about customers which at first I feel Coinbase did very well. However the tune has changed.

Like with any IPO you have that sharp increase in price at the start followed up with a heavy sell off as people collect their "free" profits. It makes sense I don't blame them. However this stock actully recovered for a moment which took me by surprise a bit but shouldn't be since it was during the same time as the crypto rally. It's why coinbase stock should be looked at almost fully to follow crypto prices however that may soon change.

At the moment Coinbase makes a very large bulk of their income from fees on their exchange and people buying into crypto. Besides that there's not much revenue that is generated from it. However it should also show you how overpriced these fees are if a company is making this much money simply off of trading fees!

CoinBase NFTs

At the moment OpenSea is actully coming under a lot of fire and it's unclear as to how that will turn out. From hacks and stolen assets people are starting to file lawsuits against OpenSea and maybe that might open up Coinbase the opportunity to take their NFT platform and launch.

Coinbase announced they would have a NFT marketplace but it's still something we can't access. Via an update tweet from March 14th said coinbase will soon (yep famous words lol) be releasing the NFT marketplace but they are currently working with over 100 creators to build out the initial product.

This could actully set Coinbase up for one of the largest rallies ever in terms of stock price. I would also suspect that they would take many payment options and give the buyer or seller an option of what chain to mint it on. They will most likely take a cut just like OpenSea does and that cut can quickly add up to huge profits for the company as we have seen in the case of OpenSea.

What's unclear however is just how much demand is left for NFTs at least NFTs that to many including myself feel like get rich quick scams. I love NFTs what I don't love are the junk NFTs that provide no value what so ever. I can understand artwork, gaming and so forth what I can't understand is randomly generated characters but to each their own I'm not here to tell people what they should want or buy and simply follow the money myself as an investor.

What are you thoughts on Coinbase? Are they pausing to see what happens with OpenSea before coming in hot with their launch?