Crypto Exchange Coinbase is seeing its share price rise on Thursday as BTI analyst Mark Palmer reiterated its buy rating for the company and set its price target at $ 500.
Poymar Coinbase Global Inc.
The largest crypto exchange in the United States has announced that it is working to launch a platform for unwanted tokens, and already has more than 1.35 million sign-ups, or reservations, for the NFT marketplace, which is expected to challenge companies like the popular Opensius.
Coinbase analysts have long argued that the crypto exchange needs to diversify its revenue base because fees related to the sale of digital assets were likely to shrink as more players entered the scene.
“Our bullish thesis on Coinbase Global (COIN) is based on our belief that as the company diversifies its business and its revenue model becomes less dependent on retail transaction fees, multiple extensions of stock will reflect its increased stability. , “Palmer wrote in a research note on Thursday, written by BTIG.
Coinbase NFT aims to be a peer-to-peer marketplace through which users can mint, collect and trade digital tokens.
NFTs are unique digital assets – such as industrial or collectible – and are not intended to serve as currency. In some cases, NFTs represent an authentication that exists in the blockchain.
“We’re making NFTs more accessible by creating intuitive interfaces that leave behind complexity. We’re adding social features that open up new avenues for conversation and discovery, ”writes Sanchan Saxena, ecosystem product, VP at Coinbase on the blog.
Palmer said the popularity of NFTs has been “transformative for both marketplaces, including Opensia, on which they do business, and blockchain protocols like Solana and Tejos that have facilitated their growth.”
In addition to OpenSeas, another popular crypto exchange FTX is also planning to launch an NFT marketplace.
Meanwhile, Coinbase on Thursday unveiled a proposal for sweeping changes to U.S. federal regulation of digital assets, urging Congress to create a new body to regulate the industry under a different structure used to oversee the legacy financial services industry, Marketwatch’s Chris Matthews wrote.
Coinbase’s recent moves come as Bitcoin and other crypto start a new rally, the world’s number one asset not seen since May at the edge of record heights.
Last check Thursday, Bitcoin BTCUSD,
CoinDesk was traded at $ 57,699, up 1.1% from Ether ETHUSD,
Kraken in the Ethereum blockchain was trading at 3,784, up 7.5% on Thursday afternoon.
Shares of Coinbase have already risen 5.4% to about $ 260 and 4.9% for the week, with gains of 13.2% over the past three months, as Faxet data shows. Thursday’s gain, if it holds, will be marked as Coinbase’s best since the August 8 %% rally rally.
By comparison, the Dow Jones Industrial Average DJIA,
1.4% per day, 0.3% per week but down 0.2% in the last three months; And S&P 500 Index SPX,
On Thursday, the Nasdaq Composite Index Comp.
The day grew 1.7%, contributing to 1.6% weekly profit and 1.1% progress over the past three months.