Bitwise CEO Claims Crypto Bias Hinders People from Recognizing Coinbase as the Next Goldman Sachs

Hunter Horsley, CEO of Bitwise Asset Management, recently expressed his frustration with the lack of attention given to Coinbase, a US-based cryptocurrency exchange. According to Horsley, people are “sleeping” on the potential of the crypto business while big banks like Goldman Sachs invest in technology, APIs, and retail services to avoid a “slow death.”

Horsley points out that Coinbase has already achieved what many banks strive for, with an exceptional institutional team, over 50% institutional volume, and first-class tech products. Additionally, he claims that Coinbase co-invented the USDC payment rail, which facilitated $2 trillion in transfers in 2022 Q4 alone.

Despite having over 100 million retail app users, surpassing Charles Schwab’s monthly active users, and a revenue mix moving towards 50% subscriptions and services, Coinbase’s market cap is only $12 billion, much lower than traditional financial institutions like Goldman Sachs and Charles Schwab.

Horsley believes that Coinbase’s low market capitalization is a sign that investors are overlooking its potential. He urges people to recognize that Coinbase is building a modern, tech-first, institutional financial services firm and is rapidly innovating in every area. Horsley warns against dismissing Coinbase based on individual factors and encourages people to see the company’s incredible prospects.