Nasdaq Inc. is set to test its hand on a major direct listing as it welcomes Coinbase Global Inc. into the exchange on Wednesday, according to Bloomberg. The exchange has set a reference price of $250 a share for Coinbase, valuing the company at about $47 billion.
The $47 billion valuation of Coinbase on debut is not a direct indicator of the company’s potential market capitalization as shares open significantly above the reference price.
Nasdaq was selected for Coinbase listing based on its ability to provide a private market for the shares and services that help public companies reach investors.
Coinbase’s listing is a win for Nasdaq, whose years-long fight for a larger share of mega listings gained traction in the past year.
Coinbase is going public the day after Bitcoin and Ethereum, the biggest cryptocurrencies, jumped to new all-time highs.
The crypto exchange expects its Q1 profit of $730 million to reach $800 million, more than double what it earned in all of 2020.
Coinbase shares traded at roughly $90 billion valuation in early March based on the $350 a share that the stock was trading on the Nasdaq Private Market auction, which would make it the biggest company to take the direct listing route.Bitcoin and Ethereum are currently gaining. BTCUSD is up 1.34%, ETHUSD is up 3.78%
