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Bitcoin The Almighty Buck

Coinbase To Invest 10% of All Future Profits In Crypto (theblockcrypto.com) 22

According to a tweet from Coinbase CEO Brian Armstrong, the brokerage firm is planning to purchase more than $500 million worth of cryptocurrency on its balance sheet. It's also going to be investing 10% of all future profits in crypto. The Block reports: "I expect this percentage to keep growing over time as this crypto economy matures," Armstrong said. A blog penned by Coinbase's chief financial officer Alesia Haas indicated that the purchase would include Ethereum as well as other assets tied to the decentralized financial world.

"We have committed to invest $500M of our cash and cash equivalents," Haas wrote. "We will become the first publicly traded company to hold Ethereum, Proof of Stake assets, DeFi tokens, and many other crypto assets supported for trading on our platform, in addition to Bitcoin, on our balance sheet," she added.

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Coinbase To Invest 10% of All Future Profits In Crypto

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  • We're throwing away 10% of our profits into our executive fund.
  • .. but these pyramids, where they took stones from the lower layers to increase the height of the pyramiddon't really exist anymore it was during the dynasty of Tut Ponzi the III.

    They were unstable and they collapsed, when someone called out the scam that infinite growth is not possible.

    • It's not that hard, but it's understandable they weren't doing it 3000 years ago without knowledge. Experience is key. When you take the bricks from the bottom, you have to make sure the bricks on top don't move that's all you have to do. Once you've got that, it works perfectly.

    • Maybe then you shouldn't know that you live in an economy that assumes infinite growth in a world with finite resources.

      Or do you think that your favourite tech/food/pharma/manufacture/etc company will always be able to report a positive growth YoY?
  • Why not 100% (Score:5, Insightful)

    by mobby_6kl ( 668092 ) on Friday August 20, 2021 @05:03AM (#61710659)

    So why not invest 100% if crypto is so great? Considering their entire operation is based on crypto, you'd think they would trust it more.

    • Diversification.

      Besides, the business of Coinbase is not in holding cryptocurrencies but rather enabling the trading. They mostly make their profit from the transactions users/investors do in their platform and not from holding such assets.
      The best part of their idea is that they won't need to convert any fiat to cryptocurrencies since they can take the fees of transactions directly in the cryptocurrency in which they want to invest.
      • There's like a 1,000 different currencies, is that not diversified enough?

        I know what and why they're doing it of course, I'm just poking fun at the fact that the company making money off people investing and trading cryptocurrency isn't investing heavily in cryptocurrency itself.

    • Gotta have a 50% fund for hookers and blow.
  • does a company whose main business is dealing with crypto not invested in crypto still? they're old in the game too
  • The equivalents are probably worthless coins they mine/print themselves.
  • Let me know when you plan on doing that Coinbase. I'll be ready to sell make a quick buck every time your invest :)

  • "I bid 400 quatloos on the new comers.''

    This should be the subject for every coin story. Making money so you can make more money, without a higher purpose, is a waste of our resources.

  • they burst. This is a tiny amount compared to the overall market, but it's a very large lump sum to drop in all at once, and the PR is probably worth even more than the cash value.

    On top of that, we know plenty of shitcoins are vulnerable to 51% stake, and some even less, so it's arguably an investment in the company's markets' stability (or a way to influence it, if you're more paranoid).

    So that's 2-3 (or 2.xx, if you prefer) birds with one stone. Seems pretty smart to me.

    It's also the second time in well

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