Coinbase, US’s largest cryptocurrency exchange, makes Nasdaq debut

[JacksinPA]

Coinbase, US’s largest cryptocurrency exchange, makes Nasdaq debut

Analysts expect company to be valued $65bn to $100bn, making CEO and co-founder Brian Armstrong’s net worth up to $20bn

www.theguardian.com

Analysts expect company to be valued $65bn to $100bn, making CEO and co-founder Brian Armstrong’s net worth up to $20bn


The soaring value of cryptocurrencies added another name to the list of the world’s wealthiest billionaires on Wednesday with the introduction of Coinbase, the US’s largest cryptocurrency exchange, on to the Nasdaq stock exchange.

Brian Armstrong, Coinbase’s CEO and co-founder, has a 20% stake in the company which analysts expected to be valued at between $65bn and $100bn. Shares surged 58% when the sale started valuing the company at about $100bn and making his net worth $20bn.





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Surging prices for assets including stocks and cryptocurrencies led to the creation of a record-breaking 2,755 billionaires last year, according to Forbes annual billionaire poll. At $20bn Armstrong would enter the list at 88th place, ahead of the former Google boss Eric Schmidt.
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I don't understand cryptocurrency. You spend a fortune on computer servers to mine value?

 

[AmNat]

I don't understand cryptocurrency. You spend a fortune on computer servers to mine value?

The simple version is that in order for the blockchain (basically the ledger showing who owns what) to update, the right answer to a (computationally unsolvable) math puzzle has to be guessed. With Bitcoin this happens once every ten minutes or so on average. The new blockchain will include all transactions that took place since the last one came out, while leaving the person who solved the puzzle in possession of a reward (paid for by transaction fees). Thus the most efficient way to mine value is to have specialized computers continually checking guesses for the answer to the most recent puzzle. The percentage of puzzles you solve will (averaged over many cycles) be proportionate to the percentage of global mining power you own.

 

[JacksinPA]

The simple version is that in order for the blockchain (basically the ledger showing who owns what) to update, the right answer to a (computationally unsolvable) math puzzle has to be guessed. With Bitcoin this happens once every ten minutes or so on average. The new blockchain will include all transactions that took place since the last one came out, while leaving the person who solved the puzzle in possession of a reward (paid for by transaction fees). Thus the most efficient way to mine value is to have specialized computers continually checking guesses for the answer to the most recent puzzle. The percentage of puzzles you solve will (averaged over many cycles) be proportionate to the percentage of global mining power you own.

This makes no sense al all to me. How can you deposit 'global mining power' in the bank?

I went to a college that graduated 2,500 accountants every year & 10 or so chemistry majors. I took chemistry because it was easier.

I didn't have the patience for math.

 

[joko104]

Crypto is for criminals such as extortionists and billionaires such as big tech billionaires and terrorists.

 

[AmNat]

This makes no sense al all to me. How can you deposit 'global mining power' in the bank?

Most people use exchanges like Coinbase. As long as people are willing to pay for it it has value.

 

[JacksinPA]

Most people use exchanges like Coinbase. As long as people are willing to pay for it it has value.

Reminds me of the days leading up to the 1929 stock market crash. A big bubble due to burst.