The IPO of Coinbase has a far-reaching impact on the entire crypto-Space and, in particular, Decentralized Finance (DeFi) is one of the main winners – what is it?
The Coinbase IPO was the Token this week, everyone is talking about and not only Bitcoin, but, above all, DeFi, has increased since the Listing heavily.
Coinbase has announced a few weeks ago, its quarterly numbers. Overall, the company generated in the first quarter of the current year, total sales of nearly $ 1.8 billion. In addition, the net profit was estimated from Coinbase between 730 and 800 million dollars. But what is the connection between a centralized crypto-exchange and Decentralized Finance?
The idea is relatively simple. Since then, Coinbase has released its quarter, and the stock is listed, there is a clear scale for the assessment of decentralized exchanges. Default values for metrics such as number of users, volume of trade, the Total Value Locked (TVL), and so on, to ensure that DeFi projects are the first to become a publicly-traded companies.
This is because a majority of the decentralized exchanges (DEX) have their own Token. UniSwap has his UNI Token, sushi swap has SUSHI and so on and so forth. Most of these tokens are currently serving as a Governance Token can determine with which the owners have on the development of the Protocol. However, some of the DeFi-projects to participate today their owners on the profit of the decentralized trading platform. Therefore, for example, SUSHI-holders can stake their Coins and a part of the sushi swap incurred fees for Trades as a reward. These developments ensure that you can evaluate DeFi protocols with traditional standards of the financial world. In addition, there are now Coinbase as a benchmark of the stock market.
How do I buy Bitcoin? Counselors and providers compared 2021
We explain quickly and easily how you Bitcoin safe and cheap, buy and what you pay attention you should!
To the solution center >>
Is DeFi undervalued?
Spencer Noon, a well-known crypto Analyst, and Investor, has set up a comparison between Coinbase and is currently the largest decentralized exchange UniSwap.
Although Coinbase is four times as old as UniSwap, and almost five times as many users, the annual trade volume of the two stock exchanges are only slightly different. Now, given that the Whole UniSwap capital and the users grow in the coming years, it could be that it could come to a certain parity between the Coinbase-stock and the UNI Token.
Currently, UniSwap, only a market capitalization of close to $ 18 billion, while Coinbase at the Moment, with over $ 65 billion is evaluated. The same reasoning applies, of course, for other decentralized trading platforms.
Should level off Coinbase in the coming weeks at its current price level, then it is possible that the DeFi sector could go through a kind of “revaluation”, since he is relatively “cheap”. The big Question is whether institutional investors will recognize this opportunity. The fact is, at that time of the editorial deadline reported UniSwap (UNI), as well as sushi swap (SUSHI) since the Coinbase IPO price gains in the double-digit percentage range.
DeFi Pulse Index (DPI) to a new all-time high
But it’s not just SUSHI and UNI have performed this week, surprisingly good. The “ETF-Token” DeFi Pulse Index Index Coop and token sets has placed last Friday, a new all-time high of 549.15 US Dollar.
DPI is currently composed of 15 different tokens of Decentralized Finance. In particular, UNI SUSHI, AAVE, and the Governance Token Maker (MKR) have stimulated the DeFi Token this week. MKR was the Top Performer, and rose on a weekly basis to over 50 percent.
Crypto Trading learn
The beginners course for the trading of Bitcoin and digital currencies
3 hours of video course with a professional trader Robert Rother
Now learn to trade