 So everybody is excited about the new Coinbase listing on the NASDAQ. After opening up at 381 dollars shares rocketed up to 428 dollars within a five minute period of Coinbase being listed. But then it went into a free fall with a drop down as low as 310 dollars. Today the price has settled in that range between 320 and 330 dollars per share. Now the question is should you buy this stock right now? Well ultimately it's up to you on whether or not you want to buy the stock because I am not a financial advisor and this is not financial advice. But what I can tell you is what I am doing and why I'm doing all that and more. Stay tuned. Hey what's up Jay here and welcome to Bitcoin Daily bringing you guys the best tips tutorials and ideas to help you guys become profitable and successful investors. The goal of this channel is to empower you guys with the knowledge and resources to put it all together and take you up to that next level. So make sure to hit that subscribe button and turn on the notification bell. Also make sure to smash the like button if you enjoy this video. Following months of buildup and speculation Coinbase was finally listed on the NASDAQ and of course in true cryptocurrency fashion opening day trading was a volatile affair. So trading under the ticker Coin, Coinbase opened up at 381 dollars as expected higher than the pre-listing price of 250 dollars. Interestingly shortly after Coin listed Bitcoin price corrected 5% to hit a daily low at 61,658 dollars and of course this triggered a sell off in the outcoin market as well. Overall the cryptocurrency market cap experienced a 16 and a half decline alongside the drop in Bitcoin falling from a high of 2.6 trillion dollars just before the Coinbase launch to a current value of 2.24 trillion dollars as of right now. So it definitely seems like it was another one of those typical sell the news events. This happens all the time in markets basically people buy the rumors or announcements and then they sell the news or sell once the announcement or event or whatever it is happens. So as you guys remember the day before the Coinbase listing Bitcoin went up 6% from a low of 59,800 to a high of 63,785 dollars. Then the morning of the listing yesterday Bitcoin hit a new all-time high of 64,990 dollars. So this is all leading up to the listing of Coinbase. Then Coinbase launched and the first 10 minutes of trading were just as expected. Everyone was tweeting rocket emojis and moon memes and it was glorious glorious 10 minutes of time. Then it happened. People of course started to take profits and plunged the price all the way back down from 429 to about 310 dollars. So this is very typical in a lot of listings and this is one of the reasons that I never buy anything that's new in the market. So first off there's no history. So if there's no history in the price that means how am I supposed to know what it's done or where it's supposed to go. Coinbase is a super profitable company that broke all-time highs as far as profit just in one quarter at 1.8 billion dollars but it's never been listed and it's never been traded. So what happens when a new stock or a new coin gets listed in the market is that it goes into what we call price discovery mode. The market has to try to figure out what the actual value of the stock is. So volatility is almost guaranteed at this point in both directions. Another thing to remember is that people take profits especially early investors they want to cash out. Coinbase actually gave 100 shares to each of its 1700 employees ahead of the public listing. So let's do the math 100 shares at 380 dollars per share when it opened up and it went up to over 400 dollars. That means that was over 40,000 dollars that each of these employees just got out of thin air. Do you not think these employees probably maybe not all of them probably not all of them but some of them were like I'm taking these profits I'm taking my 40 grand out of here I'm taking my 30,000 especially can you imagine the employees that saw you know employees that might not have that much money that saw the the price open at 381 so I go up to 400 so they're like oh my god I have 40,000 dollars and then saw I drop down to 310 and saw their they instantly lost 10,000 dollars they instantly lost from 40,000 dollars down to 31,000 dollars so at that point they're probably like all right I had 38,000 I have 42,000 not 31,000 I am selling and they probably decided to sell and you know what I don't blame them unfortunately not all of us are made with hands of diamonds although you'd expect people working in the crypto space would be right so that definitely played a role you know employees were selling shares I'm sure early investors were selling shares and you know liquidating their investments so all of that plus the fact that it just got listed and it's in price discovery mode is what led to basically what happened yesterday even the CFO of Coinbase Alicia has said that this is going to be a robust deep price discovery and we're excited to see where that market ends up so that's currently why I didn't buy Coinbase shares another thing is that remember Coinbase shares are going to be very very correlated with Bitcoin itself so if they're going to be correlated with Bitcoin itself and I already have a bunch of Bitcoin do I need to double down and also buy Coinbase shares I'm not sure of that so the way I'm seeing Coinbase right now is more of an investment for people in the stock market that aren't in the crypto market that but they want exposure to Bitcoin and the crypto market overall so you can see here that even though it was just listed yesterday it is already the largest stock and crypto exchange by market cap so you see here Coinbase market cap is 87.38 billion dollars and this is at a price of 328 currently it's higher than that because it's trading at 331 and then second place now which used to be first place is CME group at 74.24 billion dollars and then down here you can see that NASDAQ which is where it was listed on which the market cap is at 25.94 billion dollars now another thing to note here is that ARK Invest's Kathy Wood bought shares of Coinbase three of ARK's funds bought a combined 246 million dollars in the cryptocurrency giant on its first day of trading yesterday in total ARK Invest bought nearly 750,000 Coinbase shares according to the data released on the firm's website so more than two-thirds of ARK's stake was purchased by the company's flagship ARK innovation which the ticker is ARKK this is an ETF that she basically buys disruptive technology and the remaining shares were split between the ARK next generation and ARK fintech innovation ETFs ARK also sold some Tesla shares on Wednesday was it to buy to free up cash for the Coinbase purchase or was it because Tesla is also highly correlated with Bitcoin remember Tesla has 1.5 billion dollars of Bitcoin plus that I would imagine at this point in its balance sheet so to have both Tesla and Coinbase they're gonna be kind of correlated so that's probably why why they moved some of their Tesla purchases out now that it went back up above 700 dollars and put some of that money into Coinbase so you can see the purchases here by ARK you can see that they bought here on the ARK F ETF they bought Coinbase it looks like this one for this ETF they bought 89,000 shares then for the the regular ARK ETF you can see here that they bought as well here they bought 512,000 shares and then you can see for ARK W that they bought Coinbase here they bought about 147,000 shares you could also see here that they sold their Tesla they sold 185,000 shares in ARK and then they sold in ARK W they sold 57,000 shares as well now if you're considering investing in Coinbase one of the things that you need to know is the risk factor just like Bitcoin and other cryptocurrencies is a lot of risk factors that come with it you can see here that they themselves even said that their operating results have and will significantly fluctuate due to the highly volatile nature of crypto they go on to say that all of our sources of revenue are dependent on crypto assets and the broader crypto economy then they go on to say that their total revenue is substantially dependent on the prices of crypto assets and volume of transactions conducted on our platform if such price or volume declines our business operating results and financial condition would be adversely affected so these are all things that need to go into consideration before buying any type of shares of Coinbase this is going to be heavily correlated with Bitcoin and the crypto market itself so you have to be prepared for that now if you do decide to buy Coinbase shares you can buy them basically on most stock trading platforms for example if you use Robinhood it is available on Robinhood so that's probably the easiest way to get your shares of Coinbase if you want to buy some now for myself if I decide to buy some I'll be using TD Ameritrade's thinkorswim platform which is where I have the majority of my stock portfolio now if you don't have any stock trading platform or you just don't want to deal with a stock trading platform you do have another option crypto exchange Binance announced that it will list the Coinbase stock token coin so Binance said after it listed token the coin paired with Binance USD trading pair will be launched allowing its exchange users to trade fractional Coinbase shares now of course this comes after their announcement on Monday where they said that they would allow users to trade Tesla stock tokens as well so in an update today they said that Binance will list Coinbase stock token coin and open trading for CoinBUSD trading pair at 4.15 which is today at 3pm UTC so I'm not sure if it's already available because I think 3pm UTC looks like it's 11am my time and it's currently 1pm so it should be available but I'm not sure so if you're asking yourself what are Binance stock tokens a Binance stock token is a zero commission digital token fully backed by a depository portfolio of underlying securities that represents the outstanding tokens it even says that you qualify for potential dividends so this is all pretty cool I'll have to see if it's available to trade in the U.S. because I'm not sure so in conclusion I'm not currently buying Coinbase it is in its price discovery mode so I need to I need more data I need to see more data to see you know to be able to analyze it properly and then trade it I will probably be getting a small share at some point in the future but again because I have already a lot of crypto in my portfolio I really don't need a lot of Coinbase shares but if you do decide to get it you can get it either on a trading regular stock trading platforms or you could even get it on Binance remember that it is very very risky because it is so correlated with Bitcoin itself so be careful and also because it's in price discovery mode so that's pretty much it guys if you enjoyed this video make sure to smash the like button on it make sure if you have any questions about this drop it in the comments I'm always happy to answer your questions and if you guys are new here if this is your first time watching one of my videos welcome to Bitcoin daily make sure to hit that subscribe button that's it for us guys I hope you guys have enjoyed this video I'll see you guys on the next one as always peace and love