Coinbase became the first Bitcoin “Unicorn” company


nnnIn today’s, Coinbase, the largest brokerage firm in the emerging consumer money market, opened a new round of financing at a price of $ 1.6 billion, including the raised price, raising $ 100 million. In the previous rounds of financing, Coinbase to nearly 500 million US dollars to raise the valuation of 117 million US dollars of funds to become the most abundant one of the foreign currency enterprises. And recently encrypted money market and then fanatical, a number of venture capital companies have also invested in encryption-related enterprises.n
nnTranslation: Clovern
nSeveral start-ups are valued at over $ 1 billion, and a bit-coin company has been awarded the “unicorn” title.n
nThe company said to Fortune that Coinbase, the brokerage firm, which builds itself as the largest brand in emerging money markets, raised $ 100 million at $ 1.6 billion in estimated prices, including capital raising. The round was financed by venture capital firm Institutional Venture Partners, Spark Capital, Greylockn
nPartners, Battery Ventures, Section 32, and Draper Associates.n
nAccording to the Wall Street Journal reported in June, Coinbase has been handed over for several months to raise $ 100 million in funds valued at over $ 1 billion. And the company’s fourth round of financing transactions finally reached.n
nAccording to Fortune magazine, Coinbase raised $ 117 million in funding for nearly $ 500 million in previous rounds of financing. The total amount has made it one of the most financially funded, second only to Circle and 21.n
nIn recent months, Coinbase has benefited from a new wave of attention to the encrypted currency. This year, with the bit of recovery (bitco currency trading price of more than 3,400 US dollars, much higher than last year’s high of $ 900), while the ether square (bit currency competition to encrypt the currency network, so that people can cast and sell their own figures Currency) prices are climbing all the way, the overall price of virtual currency was explosive growth.n
nOverall, the total market capitalization of encrypted currency and tokens has soared from nearly $ 20 billion at the beginning of the year to more than $ 120 billion.n
nThis boom has led many industry observers to warn of possible bubbles.n
nCoinbase was founded in 2012, initially offering Bitcover Wallet services to help customers store digital assets. Subsequently, the company entered the field of brokerage firms, opened online exchanges, for traders to provide encrypted currency exchange or sale of services.n
nThis year is a symbolic year for Coinbase. According to the company, so far, it has led to more than $ 25 billion in digital currency trading, which is more than five times the amount it has built since the end of last year.n
nFidelity Investments, an asset management firm, added on Wednesday that customers can view encrypted currency holding information in their Coinbase accounts on the company’s Web site.n
nIn the near future, the Bitcoin block chain bifurcated, one of the camps separated from the main network and created a new encrypted currency Bitcoin Cash, some users shelling Coinbase does not intend to immediately support the new currency attitude. Eventually, Coinbase changed attitudes, agreeing to users getting their Bitcoin Cash token early next year.n
nIn recent months, Coinbase has been struggling to boycott the US Internal Revenue Service (IRS) survey, which mainly collects tax information about encrypted currency buyers and sellers. At the same time, the agency recently said it would not conduct a survey of traders with less than $ 20,000 in digital currency transactions.n
nThese temporary minor problems did not hinder the pace of the company’s development. Coinbase said the company will use the newly raised funds to consolidate its engineering and customer support team, set up its New York office for its professional trading business and continue to develop Toshi-based ether-based messaging and wallet applications.n
nHowever, recently, not only Coinbase a company has contributed to this sweeping global currency frenzy. Alphabet’s venture capitalist, GV (formerly known as Google Ventures), recently led a $ 40 million round of financing for Blockchain (a London-based encrypted money purse provider). Other investment companies like Andreessen Horowitz, Union Square Ventures and Sequoia have also supported so-called encryption hedge funds, such as Polychain Capital and Metastable, which also invest in digital tokens and encrypted currencies.n
nHowever, in another context, Coinbase’s financing amount is lower than the other three open-source block chain projects.n
nAccording to the CoinDesk ICO tracker, these block-chain projects raise more than $ 1.6 billion in funds through sales financing known as Initial Digital Currency Distribution (ICO) or tokens to sell encrypted data designed to support their agreements.n
nWhile it is true that this is not a comparison (ICO is a new type of financing mechanism that is poorly understood), Coinbase’s financing does show the potential of the ICO market in this context.n
nBut it also highlights its excess potential.n
nAlthough Coinbase has been active for many years, with hundreds of employees, and its exchange products have reached 25 billion US dollars user volume, but there are still a lot of ICO products only by virtue of a white paper and critics of the code from Investors have raised more money there.n
nHowever, as more and more traditional venture capital firms are willing to invest in ICO and tokens, this indicator should be closely watched as it reveals a continuous change in the sector chain financing industry.n

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