Core Viewpoint - The analyst maintains a sell recommendation on Circle (CRCL) shares, which is the issuer of the USDC stablecoin, indicating a negative outlook on the company's stock performance [1]. Group 1: Company Overview - Circle is the holder of the USDC stablecoin, which is a significant player in the cryptocurrency market [1]. Group 2: Analyst's Background - The analyst has over 7 years of experience in equity analysis, particularly in the Latin American market, providing in-depth research and insights for informed investment decisions [1].

Coinbase signaled on Wednesday that its crypto-backed lending product is expanding in the U.S., unveiling support for XRP, Dogecoin, Cardano, and Litecoin. By posting their holdings as collateral on decentralized finance protocol Morpho, customers can borrow up to $100,000 in Circle’s USDC stablecoin, the exchange said on X. The service is available throughout the U.S., excluding New York, Coinbase added. It marks a continuation of Coinbase’s efforts to broaden the product’s appeal, as it approaches $2 bil ...

Core Viewpoint - Coinbase's valuation metrics suggest it may be undervalued compared to peers, with a forward P/E of mid-teens and price/sales ratio of 6×, both significantly lower than industry averages [1] Company Overview - Coinbase Global, with a market cap of $43 billion, is the largest U.S. cryptocurrency exchange, providing a platform for trading, staking, and custody of digital assets [3] - The company serves both retail and institutional clients, boasting millions of verified users and trillions of dollars in assets on its platform [3] Recent Performance - COIN stock experienced a significant rally last year, peaking near $445 in mid-July before declining to the mid-$200s by year-end [2] - The stock has recently traded around $160-$165, reflecting a 32% drop in January due to broader crypto market weakness [2][5] Upcoming Earnings - Coinbase is set to release its Q4 2025 results on February 12, which is anticipated to be a critical event for investors [4][6] - Analysts expect Q4 revenue to be approximately $1.84 billion, down about 20% year-over-year, with EPS estimates around $0.99, significantly lower than the previous year's $3.50 [6] Guidance and Expectations - Management has guided for subscription and services revenue of $710 to $790 million for Q4, indicating a slight increase from Q3 [7] - Analysts are closely monitoring management's tone and guidance during the earnings call, as any signs of demand softening could negatively impact the stock [7] New Initiatives - Coinbase has launched new offerings, including a stock-trading service and a prediction-markets platform, aiming to enhance user engagement and diversify revenue sources [9][10] - The company is also acquiring The Clearing Company, marking its 10th acquisition in the year, which is part of its strategy to broaden its service offerings [10] Analyst Sentiment - Wall Street's consensus on Coinbase is a "Moderate Buy," with a 12-month target averaging around $337, suggesting over 100% upside potential from current levels [12] - Analysts have varying price targets, with Goldman Sachs raising its target to $310, while Cantor Fitzgerald and Mizuho have set lower targets due to anticipated 2025 weakness [12][13] Market Trends - Analysts emphasize the importance of Coinbase's new initiatives in driving user engagement, which could help stabilize its valuation amid volatile crypto trading [14][15] - The company's future performance is closely tied to cryptocurrency market trends, with the upcoming earnings call seen as a pivotal moment for its stock [15]

Group 1: Crypto-Backed Loans - Coinbase offers crypto-backed loans allowing customers to borrow USDC stablecoin using crypto as collateral, with borrowing limits of up to $5 million for bitcoin and $1 million for Ethereum [1] - Other platforms like Binance, Ledn, and Strike also provide similar services but impose loan-to-value (LTV) ratio limits between 50% to 75% to mitigate risks [1] Group 2: Bitcoin Market Dynamics - Bitcoin has experienced significant price volatility, recently hovering around $70,000 after peaking at over $126,000 last October, leading to speculation about its future price trajectory [2] - The cryptocurrency market is characterized by high volatility, and many investors are advised to hold their positions despite market downturns [3] Group 3: Crypto Collateralized Lending Growth - The crypto-collateralized lending market reached a record $73.6 billion, with nearly $41 billion in outstanding loans on DeFi platforms by the end of Q3, marking a 55% increase from the previous quarter [5] - Enness Global highlights the ease of borrowing against crypto without selling it, with examples of high-net-worth individuals securing loans using bitcoin as collateral [6] Group 4: Economic Context and Investor Sentiment - Speculation about bitcoin reaching $200,000 by 2025 is now viewed as unrealistic, as the cryptocurrency is not a reliable hedge against economic challenges [4] - The current market conditions are described as a "crypto winter," with predictions of prolonged downturns similar to past market cycles [10][11]

Group 1 - Cathie Wood, CEO of ARK Invest, is taking advantage of market dips by increasing investments in crypto-linked stocks as Bitcoin reaches its lowest price since 2024 [1][2] - ARK Invest has significantly increased its exposure to major crypto firms, including Coinbase, Circle, and BitMine Immersion Technologies, amidst market volatility [2][3] - The firm purchased over $1.3 million in Coinbase (3,510 shares), $8.7 million in Circle (34,342 shares in ARKK and 8,536 shares in ARKF), and $6 million in BitMine (145,488 shares) across its ETFs [3] Group 2 - ARK also expanded its stake in Bullish by acquiring 125,218 shares, a regulated crypto exchange backed by Block.one and notable investors like Peter Thiel [3] - On February 4, ARK Innovation ETF added 83,094 shares of Bullish and 14,868 shares of Circle, reflecting ongoing investment activity during a downturn in the crypto market [5] - As of February 5, Bitcoin experienced a significant drop, trading at $67,753.29 after losing approximately 7.8% in 24 hours, marking the worst price crash since early November 2024 [6]

Core Insights - Coinbase Global (COIN) has paused some operations in Argentina, specifically suspending the buying or selling of the USDC stablecoin using Argentine pesos, effective January 31, 2026, while crypto-to-crypto trading remains unaffected [1][7] - Approximately 87% of Argentinians view cryptocurrency as a means to achieve financial independence, and 79% are open to receiving salaries or payments in digital assets, indicating a growing interest in digital currencies as a solution to financial instability [2] - Despite short-term challenges, Coinbase is positioned for a strong 2026, focusing on real-world asset (RWA) perpetuals, specialized exchanges, next-generation DeFi infrastructure, and AI integration to build a comprehensive product ecosystem [4][7] Company Operations - Coinbase launched operations in Argentina on January 28, 2025, after receiving approval from the National Securities Commission (CNV) to operate as a Virtual Asset Service Provider [1] - The company faced regulatory hurdles in the Philippines, where it became inaccessible due to licensing issues [3][7] Market Position and Performance - COIN shares have lost 3.7% over the past year, although this performance has outpaced the industry [6] - The company trades at a price-to-earnings ratio of 43.23, significantly higher than the industry average of 22.97, indicating an expensive valuation [9] Financial Estimates - The Zacks Consensus Estimate for COIN's fourth-quarter 2025 and first-quarter 2026 EPS has not seen any revisions in the past week, with similar stability in full-year 2025 and 2026 EPS estimates [10] - Revenue estimates for 2025 and 2026 indicate year-over-year increases, while the EPS estimate for 2026 suggests a decline [12]

Coinbase (COIN) is pulling back some of its operations in Argentina, less than a year after formally entering the country’s crypto market. The U.S.-based exchange informed users via an email shared widely on social media that it will suspend the ability to buy or sell the USDC stablecoin using Argentine pesos, effective Jan. 31, 2026. After that deadline, traders will no longer be able to withdraw pesos to local banks or on-ramp with fiat. The company described the move as a “deliberate pause,” saying i ...

Core Insights - The cryptocurrency industry experienced significant volatility in 2025, with Bitcoin reaching a record high of over $126,000 before closing the year below $90,000, indicating a lack of sustained gains despite positive regulatory developments [2][4][10] Market Performance - Bitcoin's price fluctuations reflect broader market sentiments, with retail investors feeling negative while institutional investors remain optimistic about future growth [4][11] - The passage of stablecoin legislation and a crypto-friendly regulatory environment are seen as potential catalysts for future market recovery [2][13] Institutional Interest - Institutional demand for Bitcoin is expected to outpace supply, with crypto ETFs having acquired over 700,000 Bitcoin since their launch in 2024, which is approximately double the new coins produced during the same period [7][6] - Major financial institutions, including Morgan Stanley and Merrill Lynch, are beginning to offer crypto ETFs, which could further drive demand [6] Future Outlook - Experts predict that 2026 could see Bitcoin breaking out of its current stagnation, with potential new highs driven by institutional buy-in and regulatory shifts [3][9] - The prospect of lower interest rates may enhance retail and institutional interest in cryptocurrencies [5] Regulatory Developments - The CLARITY Act aims to establish a regulatory framework for cryptocurrencies, which could improve the industry's outlook if passed [13][14] - The act would designate the Commodity Futures Trading Commission as the primary oversight agency for crypto, a move favored by industry stakeholders [14][15] Tokenization Trends - The tokenization of real-world assets, including stocks and stablecoins, is gaining traction, with significant players like Coinbase and BlackRock prioritizing this strategy [17] - The expansion of Circle's USDC stablecoin, which saw its circulating supply increase by over 50% in 2025, highlights growing interest in tokenized assets [15]

Welcome to Motley Fool Money. I'm your host Emily Flippen. Today, I'm joined by Fool analysts Jason Hall and Sanmeet Dao to discuss the IPO market. We'll be taking a look back at what reopened the IPO window over the course of the past year, run the biggest IPOs of 2025 through a rule Breakers lens, and make a few predictions for the 2026 IPO markets, including discussing if it really never makes sense to buy into an IPO. Now, the IPO market in 2025 was obviously much hotter than 2024. The third quarter of ...

Visa launches $USDC stablecoin settlement in the U.S. using the Solana blockchain ...