Coinbase IPO: A Turning Point For Crypto

Coinbase IPO: A Turning Point For Crypto

There is buzz that the massive direct listing of Coinbase (COIN) is similar to the Netscape IPO of the mid-1990s. Netscape represented the ushering in of the dot-com boom, whereas the Coinbase offering reflects an inflection point for cryptocurrency.Well, for investors, the analogy should be taken with some caution. Remember, Netscape no longer exists, as it was Google that would ultimately win the war.Despite this, there is certainly considerable enthusiasm for Coinbase shares. When COIN made its public market debut on April 14, the company's market value exceeded $85 billion.As for the direct listing, this means that Coinbase did not raise any capital in the transaction. Then again, it really does not need any. The fact is that the company is highly profitable.The company recently announced preliminary results for the first quarter, and they were jaw dropping. Revenues soared by 9X to $1.8 billion and net income landed within the range of $730 million to $800 million. To put things into perspective, last year, revenues were $1.28 billion and net income was $322.3 million.Let's take a closer look at the company.Background On CoinbaseBack in the summer of 2012, Brian Armstrong came up with the idea for Coinbase.  He wanted to