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Absolutely, the only thing they need. Because the barriers to entry are so high!
by kgwgk 6y ago
Absolutely, the only thing they need. Because the barriers to entry are so high!
- andy_ppp 6y agoWell regulation of this stuff is a kind of nightmare. Building an exchange is a nightmare - I tried once and scaling the thing is really complicated.
- kgwgk 6y agoIt's not like coinbase has not to worry about regulation anymore. And for the technical aspect, did you spend a few billion dollars when you tried? Potential coinbase competitors may. I don't think a valuation higher than NYSE and NASDAQ combined (or CME and CBOE combined) is reasonable.
- andy_ppp 6y agoThey have a reasonable sized moat then no? I’ve no idea $77bn seems large, but they intend to be the world’s financial system in 10-20 years so could be worth even more.
- kgwgk 6y ago> They have a reasonable sized moat then no? Do they? I'd rather own a couple of major exchanges in today's financial system for the same price. ICE net income $2.1bn market cap $63bn NDAQ net income $0.5bn market cap $23bn CME net income $2.1bn market cap $72bn CBOE net income $0.4bn market cap $11bn
- dannyw 6y agoYou've listed exchanges, but Coinbase is much more than just an exchange. They are also a broker, as well as bank (provision of loans), custody-provider, etc. here are some brokers... Charles Schwab (SCHW): $119.81bn Interactive Brokers (IBKR): $32.47bn
- andy_ppp 6y agoI mean if they get their mission done they’ll be worth more...
- colinmhayes 6y agoCoinbase's real value seems like it'll be its ability to use deposits to provide loans. Big money in banking.
- kgwgk 6y agoMost banks do not have a $100bn valuation though.