Crypto exchange operator Coinbase has revealed that it owns bitcoin and other crypto assets as an investment in its balance sheet.
“Since our foundation in 2012, Coinbase has kept bitcoin and other crypto assets on our balance sheet – and we plan to maintain an investment in crypto assets, as we strongly believe in the long-term potential of crypto-economics,” wrote Brett Tejpaul, Coinbase’s head of sales institutional, negotiation, custody and core services, on a blog on Wednesday.
Tejpaul did not reveal a specific investment amount. Block has contacted Coinbase for comments and will update this story if we have an answer.
This appears to be the first time that Coinbase has publicly disclosed its investment in bitcoin as part of its balance sheet, although the revelation is not surprising.
Several crypto companies have invested in bitcoin as part of their treasures. According to data from Bitcoin Treasuries, all companies, including cryptographic and non-cryptographic, collectively hold $ 67 billion in bitcoins on their balance sheets. The figure is based on the current bitcoin price of around $ 50,000.
Coinbase itself helped several publicly traded and private companies acquire bitcoin on their balance sheets, including Tesla and MicroStrategy.
Tejpaul said Coinbase carried out “nine and ten digit negotiations for some of the largest institutions in the world”, without revealing specific names.
“Customers chose us for our safety record, sophisticated execution platform, white glove service 24 hours a day, 7 days a week / 365 days a year and a focus on regulatory compliance,” said Tejpaul.
A source recently told The Block that Coinbase’s primary brokerage arm has more than five Fortune 500 companies as customers.
Specific details of Coinbase’s own bitcoin investment can be revealed on its Form S1, which is expected to be released in the coming days or weeks.
Coinbase confidentially filed Form S1 last December with the United States Securities and Exchange Commission as part of its plan for a direct listing of shares on Nasdaq.
The S-1 would offer a detailed view of Coinbase’s business. The company’s shares were most recently traded at an implied valuation of $ 100 billion at an average price of $ 373 per share, as The Block reported last week.
Update: the title of this story has been updated for clarity.
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