In the letter
- FTX is working on a tokenized stock trading contract with Coinbase – before debuting on the stock market.
- But no confirmation when, or even if, it will be released.
- Based on previous FTX contracts, you would exchange it with USDC.
Coinbase of San Francisco announced yesterday that it has confidentially submitted a dossier for an initial Public Offering.
But while public investors have to wait until Coinbase Detaches details with US Securities Commission, FTX crypto exchange dropped the gun and could soon allow its clients to enter into a pre-listing futures contract for shares in Coinbase, said Sam Bankman-Fried, CEO at FTX decrypts.
As first reported by Coindesk and confirmed decrypts, Bankman-Fried is working with CM-Equity, the German capital markets firm FTX, in partnership with the launch of the tokenized stock markets in October to find out if the market will comply. “We will try to do it, but we are still not sure if we will succeed,” Bankman-Fried said. decrypts.
An IPO is a kind of ICO, although instead of cryptocurrency chips, there are shares of a company for sale. And instead of avoiding the US Securities and Exchange Commission as a plague, Coinbase accepts the regulator and will launch the IPO only with the blessing of the SEC.
Coinbase has raised $ 547.3 million in funding since its inception in 2012, according to CrunchBase. Messari cryptographic market analysis firm estimated the exchange at $ 28 billion. In July, Coinbase revealed that it has 35 million customers.
FTX launched a similar pre-IPO market for Airbnb before launching on December 10th. When the Airbnb IPO was launched, the shares doubled in price.
So how do you buy a stake in this hypothetical pre-IPO Coinbase contract?
Well, assuming it doesn’t differ from the AirBNB contract, you’ll need to sign up for FTX and then buy some of the US dollar stablecoin, USDC. Coincidentally, USDC is run by Center, a consortium of cryptographic company Circle and … Coinbase!
To buy some USDC, you can buy it directly from cryptocurrencies, such as Coinbase, in exchange for fiat currencies, or you can exchange it with another cryptocurrency, such as Bitcoin.
Then you can exchange the newly purchased USDC with the FTX Coinbase IPO tokenized stock. And voila! A symbol of Coinbase CEO Brian Armstrong himself. What piece will you buy?
Disclaimer
The opinions and opinions expressed by the author are for information purposes only and do not constitute financial, investment or other advice.