Since the foundations of 2012, Coinbase’s Cryptoactive exchange has changed the image of being recognized as a “cryptocurrency casino.” This is a term that refers to unstoppable speculation on the first day of a digital asset.
According to analyst James Ford, the company is leading the market Thanks to the scale, reputation and ability to adapt to a regulatory environment And technology that will quickly evolve.
With the rise of Stablecoins, asset tokenization and recent legislative advances, Coinbase is positioned as a financial force with potential and expert signals.
Speculation about establishment
The term “cryptocurrency casino” reflects the early perception of cryptocurrency markets such as volatile space, dominated by speculators who bet on the rapid price rise of assets such as Bitcoin (BTC) without clear regulations or solid infrastructure.
Initially, Coinbase was a platform that primarily buys and sells cryptocurrency, attracting investors who were attracted to the digital gold fever. but, The company has evolved towards an essential model It provides storage services, payment processing, regulatory compliance and consolidates its position as a trusted institution in a sector previously considered dangerous and immature.
This transition is due to several factors. Coinbase trades in the stock market, submits it for regular audits and complies with AML/KYC regulations. AML (Anti-Lavish of Money) means measures to prevent the use of cryptocurrency in illegal activities, but KYC (knowing the client) requires that the user’s ID be verified to ensure a secure transaction.
These practices strengthen their reputation, attracting agency partners and regulatory authorities; Place it as a critical infrastructure for the digital financial ecosystem.
Regulation-driven growth
Approval of the genius law in the US Senate. This will have to face a significant vote in the US House of Representatives. Stubcoin milestone, mark cryptocurrency linked to price of fíat coins like dollars.
This Act restricts the issuance of stubcoins to insured deposit institutions or federal or state licensed issuers. They must meet strict requirements, annual audits and procedures to ensure reservations, annual audits and rapid cash conversion.
Coinbase, which handles large numbers of transactions with Stablecoins, offers direct benefits. The company receives 50% of the circle’s revenues, and 100% of the USDC revenues stored on its USDC stations and platforms.
Additionally, Coinbase has obtained a MICA license from the Luxembourg Financial Sector Supervisory Board. This allows it to operate in 27 European Union countries. This approval will optimize operations in markets such as Spain and Germany, and will encourage more fluid expansion.
These developments have driven Coinbase (Coin) action by 30% last month, bringing it closer to its historic maximum.
Stablecoins is a conversion engine
Stablecoins is redefineing access to the global financial system, says Ford. They represent 1% of money supply and exchange transactions from the US, But they could reach 10% in the next few years.
Analysts estimate that USDC could potentially exceed $1 billion in circulation in 10 years. Generates up to 26,000 million in interest income from Coinbase.
These cryptocurrencies allow for quick, low-cost transactions, allowing millions of people to access the US dollar. Coinbase will leverage this trend through strategic alliances. His contract with Shopify Integra Stablecoins on his payment platform, a collaboration with American Express launched the company’s first credit card.
Last week, Cryptootics reported that Stablecoins is a major threat to the MasterCard business model. This is because this type of cryptocurrency allows merchants to reduce costs. Eliminate up to 3% with transaction commissions, not processors like MasterCard.
Tokenization: 1 billion market
Coinbase will also explore Real World Asset Token (RWA) with stocks, a market forecast of $47 billion by 2030.
This approach makes traditional assets become digital tokens and facilitate trading on cryptocurrency networks. In doing so, Coinbase is positioned not only as a cryptocurrency but as a critical infrastructure. But for the future of financial services.
“This is not a cryptocurrency casino. It’s becoming an infrastructure for digital assets,” says Ford.
The company is strengthening its leadership as the biggest validator for Ethereum, one of the leading custodians of cryptocurrency, over 70% of the amount of USDC. The direct relationship between its regulatory compliance and regulatory authorities in the US and Europe They make them an attractive partner for cryptocurrency-related projectsFrom startups to large companies.
Risks of Investing in Coinbase
Despite its growth, Coinbase is facing challenges. The volatility and dependence on commercial fees in the cryptocurrency market represents the risk of their income.
Competitors could win positions, and lower interest rates could reduce Stablecoins’ profits. On top of that, Tokenization faces important regulatory obstacles.
Despite the risks, the possibility of Coinbase cannot be ruled out, says Ford. The evolution of the speculative exchange between Stablecoins and RWA promoted by RWA has allowed it to be a leader for the next decade.
As Ford points out, “Coinbase has market-based benefits.” With technology, regulatory support and innovative vision, The company appears to be ready to lead the transformation of the Globa Financial Systeml, leave an age of speculation to build a more stable and accessible future.
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