Coinbase (COIN) has set its sights on an ambitious target.
Chief product officer Surojit Chatterjee, in an exclusive interview with Forbes, said, “We want to be the AWS of crypto. We are building this whole Coinbase Cloud suite of products that you can think of as crypto computing services to help developers build their applications faster."
Back in January, Coinbase acquired Bison Trails, a blockchain infrastructure company. At the time, Coinbase said that it wanted Bison Trails to be a foundational element within its growing suite of products.
Coinbase’s income stream is reliant on transaction fees, with much of its revenue concentrated there. Subscription services that come with the cloud open the door for more diversified income streams. Chatterjee says that the Bison Trails acquisition was a key component of Coinbase pivoting to a more mature financial system.
Where to Get Exposure to Coinbase
Coinbase is a top holding for the VanEck Digital Transformation ETF (DAPP). DAPP’s holdings focus on the digital infrastructure of the crypto space, providing investors with exposure to exciting companies like Coinbase, Silvergate (SI), and Marathon Digital Holdings (MARA). At 8% of the fund’s overall holdings, DAPP could win out big if Coinbase is able to achieve its goals.
Right now, it looks like a tough company to bet against. As of last month, Coinbase Cloud had $30 billion in crypto assets staked on its platform. Coinbase is extremely popular, with 73 million customers, 10,000 organizations, and 185,000 different ecosystem partners. It is a global firm that has processed a staggering $700 billion in transactions since its founding in 2012.
VanEck’s other crypto-centric fund, the VanEck Bitcoin Strategy Fund (XBTF), could also benefit from the ongoing success of companies like Coinbase. XBTF is a futures fund, but broader adoption of cryptocurrency platforms can only help bitcoin continue to revolutionize the financial industry.
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