The crypto world is increasingly interconnected with the traditional economy. And this makes sense, since most of the world’s big governments, companies and organizations have understood the importance of Blockchain technology and cryptocurrencies. Starting to admit them as an opportunity. Allowing the integration of crypto companies to the traditional market, leading Changpeng Zhao to declare that he supports the Coinbase IPO in the Tweet of the day:
Changpeng Zhao supports Coinbase
For the crypto market, it is not another news to know that a company dedicated to Blockchain technology will make an Initial Public Offering (IPO). Well, until now crypto world companies have remained separate from the rest of the market. Developing its own ecosystem, which is not usually integrated with the stock market or other financial markets.
However, now Coinbase, one of the most important companies in the crypto world, will break this trend. Announcing that it plans to launch its own IPO by the end of 2020 or the beginning of 2021. This would assure the exchange valued at 8 billion dollars, access to a new stream of resources to continue investing in its development.
But more important than the resources that Coinbase could receive, is what this IPO would represent for the crypto market. Since, to become a reality, it would have to be approved by the Securities and Exchange Commission (SEC).
This would represent a step forward for cryptocurrencies to be taken into account by the US government. Paving the way for other crypto companies as Changpeng Zhao points out:
“I don’t normally comment on other exchanges. But I would like to congratulate Coinbase on the IPO plan. Pushing and paving the way for other crypto companies. And to answer the question. No, Binance is NOT planning an IPO. We plan to decentralize more“
Thus, Changpeng Zhao would make clear his support for Coinbase’s strategy. Not only because of the positive effects it could bring to the competing Binance exchange. But above all, because it would serve to legitimize the crypto world and its companies facing the traditional financial market. Strengthening other crypto companies that plan to go public soon.