Currency has evolved over the years; from starting as barter system to card (debit, credit and master) it has come a long way. And if we place our beliefs on financial analyst then the future of the currency is crypto currency. There are many startups which deal with crypto currency, and one of them is Coinbase. Lets find out What is coinbase?
When was Coinbase Founded?
Coinbase was founded on June 2012 by Brain Armstrong, Fred Ehrsam and Ben Reeves.
Later Ben Reeves left the company due to a difference in how the Coinbase wallet should operate with other co-founder Armstrong.
What is Coinbase?
Coinbase launched the services to buy and sell bitcoin through bank transfers on October 2012. Coinbase offers two core services to its customers. One of them is of brokerage,where retail consumers can buy Bitcoin, Bitcoin Cash, Either and Litecoin using a bank account. Other service is exchange system where big traders can make bids and offer on crypto currency.
Coinbase Valuation and Funding
In May 2013, Coinbase received a US$5 million Series A investment led by Fred Wilson from the venture capital firm Union Square Ventures. Recently in August 2017, the company raised $100 million at a valuation of $1.6 billion from 6 firms, including the prestigious Greylock Partners and reached unicorn status.
Although everything has not been right with the company as it has faced many legal troubles in the past. Coinbase lost legal battle with Internal Revenue Service, which successfully demanded customer records so the government could figure out the capital gains owned by Coinbase’s Customers.
Despite all these difficulties, Coinbase continues to stand tall. Coinbase customer base has seen continuous growth despite company charging high fees on trading of crypto currency. Coinbase become the most downloaded iPhone app in the US in 2017 and its monthly new users grew to 4.3 million, according to Verto Analysis.