Coinbase, Inc. is an American cryptocurrency exchange platform that operates remote-first without an official physical headquarters.
In January 2021, Coinbase parent Coinbase Global took a step towards an initial public offering, and in late February of the same year the company filed for a direct listing to go public with the Securities and Exchange Commission. Later in March 2021, the company fell under review by the U.S Office of Foreign Assets Control, with concerns that the company may have provided their blockchain service to blacklisted individuals or companies, noting that the nature of blockchain technology makes it "technically infeasible" to prevent specific users from making transactions. The company agreed in March 2021 to pay $6.5 million to settle regulatory claims that it had reported misleading information about its trading volumes.
In April, with its final earnings release before its April 14th direct listing at the Nasdaq Exchange, the company reported a nine-fold increase in Q1 revenue, to $1.8B, up from $190.6M the previous year.
As on many other tech companies Initial Public Offerings, there will be a big rush about it on the first trading year. So, you might want to jump on board. We detail how to buy Coinbase Shares in the next section.
How to Open a Trading Account to Buy Coinbase Shares
Opening an investment account with an Online Broker is a process that is completed online and requires:
That you upload your ID or Passport and a proof of address (electricity, water bills, etc.), through the Broker's App or via email.
Make sure to choose the right base currency of the account. With some brokers, changing it once you open the account can be painful. Trading Accounts may be based in US Dollars (USD), Euros (EUR), Pound Sterling (GBP), Swiss Franc (CHF), Australian Dollar (AUD) as the base currency. Practically all of them offer the option in US Dollars or Euros. For the record, Coinbase Shares trade in the US, so they are nominated in USD.
Once the Broker has approved the account, it's time to deposit cash. The depositing and withdrawing money methods are usually Credit Cards, Bank Transfers or eWallets (PayPal, PaySafe, Skrill, SafetyPay, Neteller, among many others). The available options to deposit funds will depend on each Broker. A vital fact to mention is that all of the Brokers presented above allow you to use a simulator on their platform; that is, they allow testing their Demo account, which is totally Free. In other words, you can open a Demo account, try the platform, and then decide whether to deposit money or not.
But I am not an Investment Banker... Is it easy to invest in Coinbase Shares?
Online Brokers allow investing in stocks and shares straightforwardly through optimized apps that grant easy and fast access to the US financial markets. In fact, most platforms resemble a social network or any other phone app: They are designed so that the investor can learn and start trading very quickly, without the need for much prior knowledge. Literally, to buy shares of Coinbase, you have to:
open a trading account as explained before,
Search for "Coinbase" on the Broker's Trading platform, and
press the "Buy" button.
What is the minimum amount to Buy Coinbase Shares?
Unlike most general public thinks, the answer to this question is that many stockbrokers do not have a minimum deposit (or a tiny amount of cash); which means no minimum amount. Also, to gain more clients, many brokers do not charge a commission to acquire American companies' shares.