Categories: Invest

How to invest in the Coinbase IPO

In one of the most anticipated IPOs of the year, Coinbase shares began trading publicly on 14th April, with the company having an initial valuation of $100 billion. Cryptocurrency enthusiasts have been quick to view this as representative of digital currencies taking another major step into the mainstream, and many tech-focussed investors are now looking for ways to invest in Coinbase.

There are many reasons why Coinbase shares are an attractive prospect right now, not least because the current cryptocurrency boom has seen an increasing number of people start investing in digital currencies. As a beginner-friendly exchange, Coinbase has found a way to expand its client base as Bitcoin shoots towards the moon.


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This is one of the reasons for Coinbase’s impressive valuation upon its launch. With over 50 million users already and the potential to grow, the company’s stock presents an interesting investment opportunity – even to those who until this point have stayed away from cryptocurrencies.

Where to invest in Coinbase stock

There are a variety of online brokers you can use to invest in Coinbase, but with such a range of options it’s important to make sure you’re choosing a reliable platform.

Each broker will differ in terms of its fee structure, range of stocks available to trade, and overall reputation. Out of the many great trading platforms available, we’ve come up with the top 3 for people interested in investing in Coinbase:

1. eToro

As an all-round service, it’s hard to beat eToro. The Israel-based broker has been in operation since 2007 and has over 20 million users who trust the platform with their stock trades. Most notable probably for its social trading capabilities whereby users can follow the performance of other traders, eToro is a reliable platform with user-friendly tutorials that will take you through how to invest in Coinbase.

Register here >

2. Plus500

Another giant within the online broker space, Plus500 represents one of the most reliable ways to invest in Coinbase stock. Specialising in CFD trading services, Plus500 is an international British firm that helps millions of investors each year grow their capital.

Register here >

3. Capital.com

If you’re looking for an easy way to invest in Coinbase shares, then Capital.com has a user-friendly trading interface that’s great for beginners. With a strong reputation for fast transactions and reasonable transfer fees, this broker is among the best in the business. 

Register here > 

What is Coinbase?

Coinbase is one of the best-known online cryptocurrency exchanges in the world. Founded back in 2012, the platform has grown in tandem with the cryptocurrencies it helps its users trade. The exchange boasts over 56 million verified users, all of whom can buy and sell prominent cryptocurrencies such as Bitcoin, Ethereum, Litecoin, and XRP at the click of a button.

Coinbase’s particular attraction for its users is the simplicity of its platform. Founders Brian Armstrong and Fred Ehrsam saw blockchain technology’s potential to revolutionise the financial world, and also that in order for this to happen that people would need a user-friendly place to trade cryptocurrencies. Coinbase was the platform they designed to meet this demand.

To invest in cryptocurrency using the platform, you simply need to register for a Coinbase account, verify your identity with a photo ID, and fund your account. From that point, you can use Coinbase’s mobile app or website to select the cryptocurrency you want to buy, immediately see the price at which it’s currently trading, and instantly execute the transaction.

The company operates fully online and has no physical headquarters; it employs over 1,700 employees around the world and is accessible for users in more than 100 countries. With a quarterly trading volume in excess of $300 billion, it’s hardly a surprise Coinbase’s IPO (or rather, direct listing) has been so eagerly anticipated.

Tip: looking for an app to invest wisely? Trade safely by signing-up with our preferred choice,
eToro:

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Is now the right time to invest in Coinbase?

As with any IPO, investors have been left wondering whether Coinbase stock will rise in value off the back of initial strong performance, or whether it will turn out to be overpriced and it might be smarter to wait until the price bottoms out. 

As with any investment in the stock market, the important thing is to carry out your own analysis so you can ride out any volatility and make rational decisions. Debate is already raging online between people feeling like Coinbase stock will shoot up, and others feeling like it will fall soon after opening. 

Twitter is a good touchstone to see how investors are feeling about Coinbase, so here are a few reactions from today’s news:

Overall, before investing in Coinbase do your own research. If you decide you want to put your money into the company, then sign up to a reliable broker to make your investment.

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