Coinbase (COIN) is more than a simple cryptography trade platform, said Wall Street Cantor corridor in a research report on Tuesday, starting the coverage of the actions.
Cantor assumed the coverage of encryption exchange with an overweight rating and an objective price of $ 245. In early negotiation, the shares rose more than 5%.
“The markets are losing what they are doing beyond trade, particularly with its L2 (base) and their Stablecoin relationship with Circle,” wrote the analysts Brett Knoblauch and Thomas Shinske. Coinbase actions are attractive at current levels, since they are quoted at a 32% discount to the historical valuation multiples, the report added.
The corridor sees both segments as “instrumental in changing the narrative that surrounds the currency, from being a cyclical cryptography trade platform to being a critical infrastructure of the mission of the cryptographic economy.”
The report says that the shares are expected to qualify again once investors have a greater visibility of the base and stablcoins profit potential.
Base gives Coinbase an advantage, according to the report. The strong growth of the users of layer 2 creates a “steering wheel effect” that benefits the exchange of encryption with more transaction rates.
Cantor said the market is also being underestimated by the market, especially given the potential of these cryptocurrencies to displace the cross -border payment rails of traditional finance.
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