Crunching the numbers: Analysts and industry experts weigh in on crypto firms like Coinbase and Kraken being valued in the billions.
Cryptocurrency and blockchain firms are attracting billion-dollar valuations as the space continues to see major investment in 2021. The likes of exchanges Coinbase and Kraken have had mind-boggling numbers attached to their plans to raise funds, with the former set to go public through a direct listing and the latter preparing for a lucrative fundraising round.Since it formally announced its plans for a public listing, Coinbase has been tipped to be valued at around $28 billion by cryptocurrency analytics firm Messari. Meanwhile, news of Kraken’s efforts to receive investment from private firms in a new fundraising round saw insiders tout a valuation of $10 billion or more.The sheer value of these investments is adding credence to the growing popularity of cryptocurrencies, with the total market capitalization close to $1.5 trillion. While investors have climbed directly into the crypto markets, others are looking for exposure to the biggest companies in the ecosystem with the prospect of major returns on investment in the future.Kraken says $10 billion valuation is lowCointelegraph reached out to Kraken to unpack its plans for a fresh fundraising effort in 2021, given that its last fundraising round through Bnk To The Future in 2019 amassed $13.5 million from 2,000 investors and valued the firm at $4 billion.Two years later, Kraken is in talks with top investors that reportedly include Fidelity, Tribe Capital and General Atlantic. A spokesperson for the firm told Cointelegraph …
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