US Coinbase NFT Business Revenues Over $ 1 Billion: US Investment Bank Needham Forecast
Coinbase, a major cryptocurrency trading service, can add up to $ 1.26 billion in revenue from its NFT (non-fungible token) business. John Todaro, an analyst at Needham, a US investment bank, said in a client document yesterday.
The Coinbase NFT business hasn’t launched to users yet, but Brian Armstrong, CEO of the company, said in a recent earnings report that the market is mature. Last fall, it was reported that more than one million users were on the waiting list of the company’s NFT marketplace. The biggest competitor is OpenSea.
Todaro predicts that the coinbase NFT business will have the same commissions of 2.5% as its competitors, transaction volume of $ 1.5 billion, and annual revenue of $ 450 million. Bullish forecasts are 3% commission, $ 3.5 billion in trading volume and $ 1.26 billion in revenue.
Coinbase’s total revenue in 2021 will be $ 7.4 billion.
Mr. Todaro has set Coinbase as a “buy” and set a target price of $ 360, which is more than double the stock price of $ 176 on the afternoon of the 17th.