Coinbase Now Among The Fortune 500

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Coinbase is a gigantic company — it has a market cap of $14.91B and generates around $8M in revenue. It also has over 7,000 employees worldwide and a daily volume of around $2.2B. All this data was enough to earn Coinbase the 437th spot on the Fortune 500

The Fortune 500 accounts for two-thirds of U.S. gross domestic product. Coinbase's entry into this prestigious top may signal a paradigm shift that includes cryptocurrencies. Alyson Shontell, editor-in-chief of Fortune, was full of praise for Coinbase. According to Shontell, the exchange was a clear winner in the pandemic environment.

To determine what companies are part of the Fortune 500, Fortune magazine uses the available financial data from the previous year. Coinbase posted gains of more than 1,000% in 2021, while many companies were still recovering from the impact of COVID19. 

But things have changed a lot in the last year. Bitcoin has fallen more than 50% from 2021's all-time high, and Coinbase is directly affected by this drop. 

Coinbase also reported a drop in expected users in the first quarter of 2022. They expected about 9.5M active users and only reached 9.2M. Monthly revenue also dropped — they expected to receive 1.4M in profit and got about 1.1M.

Likewise, the company's shares have fallen considerably. When they went public in April 2021, each Coinbase share was worth $328. Today each share is worth about $75 — a plunge of nearly 80%.

While Coinbase's entry into the Fortune 500 is an important milestone, we must wait at least another year to see if they manage to hold their spot. If they maintain their position, Coinbase will prove to be an important company for the U.S. economy and not just a fad. 

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