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Coinbase Misses Out on $54B Bitcoin Boom That Boosted Strategy by 3,000%


Coinbase Global Inc., one of the biggest U.S. cryptocurrency exchanges, disclosed that they had previously contemplated adopting a risky Bitcoin purchasing approach akin to the strategy employed by Michael Saylor, who founded MicroStrategy.


Nevertheless, the firm eventually opted not to fully commit to Bitcoin, expressing worries about potential threats to its early-stage growth.


financial stability


.


Coinbase opted for risk management instead of adopting Saylor’s style Bitcoin bet.


During a Friday video chat on the X social platform, Brian Armstrong,
chief executive of Coinbase
He reflected on his company’s choices over the past twelve years. During this time, he acknowledged that considering investing up to 80% of their capital in cryptocurrencies—particularly Bitcoin—was often intriguing. However, despite the allure of participating in this activity, Coinbase chose not to pursue such a high-risk strategy.


Armstrong mentioned that the action was carefully planned after evaluating potential hazards. He pointed out that fully investing in Bitcoin could have endangered the fiscal stability of a new business and potentially “destroyed” the enterprise. The choice demonstrated their approach to effectively handling risk management.


Although Coinbase chose not to participate in the Bitcoin wager proposed by Saylor’s firm, it maintains a significant digital currency holdings. As stated in their most recent shareholder communication, they acquired $153 million worth of cryptocurrencies during Q1 2025, primarily in Bitcoin. The total value of their cryptographic asset investments currently stands at approximately $1.3 billion.


Alesia Haas, the Chief Financial Officer of Coinbase—who was present during the X conversation—highlighted the company’s cautious approach. During her talk, she mentioned that the firm aims not to come across as being in direct rivalry with their cryptocurrency-investing clients. Additionally, Haas stated that the organization plans to expand its portfolio of digital assets.


Firms adopt Saylor’s approach, following his Bitcoin strategy.


In the meantime, various firms have attempted to emulate Saylor’s approach to financing.
Bitcoin purchases
By selling stocks and bonds. Ever since Strategy initiated its Bitcoin purchasing frenzy in 2020, its share price has skyrocketed over 3,000%, largely due to the increasing worth of the digital currency. At present, Strategy owns roughly $54 billion worth of Bitcoin.


Various other businesses and startup ventures are now adopting Saylor’s strategy to offer investors multiple avenues for accessing Bitcoin. Notable among these include enterprises like Twenty-One Capital Inc., supported by firms such as Cantor Fitzgerald LP, Tether Holdings SA, and SoftBank Group. Additionally, a branch of Strive Enterprises, founded alongside Vivek Ramaswamy, is consolidating with Asset Entities Inc. to create a dedicated Bitcoin treasury firm.


In other news, Next Technology Holding Inc. shares soared more than 600% on Friday after the Beijing-based software company announced that it had substantially upped its Bitcoin holdings from 833 BTC to 5,833 BTC, causing volatility halts in the stock.


Coinbase launches 24/7 Bitcoin and Ethereum futures trading for US Investors


On Friday,


Coinbase Derivatives


officially activated 24/7 trading for Bitcoin and Ethereum futures, becoming the first CFTC-regulated derivatives exchange to offer around-the-clock access to crypto futures contracts in the US.


Coinbase first revealed the initiative in March, aiming to bridge the gap between traditional US trading hours and the global crypto market, which makes up over 75% of worldwide trading volume. The exchange will provide both nano and large-sized contracts.


Coinbase’s latest offering lets U.S. investors trade, hedge, and manage exposure around the clock, matching the nonstop nature of crypto markets. The exchange has built its infrastructure to support this new setup, with all trades cleared through Nodal Clear, a CFTC-regulated clearinghouse that operates 24/7. Major firms like Virtu Financial help provide liquidity.


Although Coinbase continues to be wary about committing entirely to a Bitcoin-focused approach, the increasing enthusiasm for cryptocurrency-powered company treasury systems highlights the rising appeal of Bitcoin as a means of storing wealth within corporations.

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