Brian Armstrong, chief executive of San Francisco-based Coinbase appears to be unfazed by the market’s undisguised downturn, and has stated his cryptocurrency exchange was signing up 50,000 new members a day last year.
After shedding $60 billion in one week, market capitalization now has late investors firmly in the red. Early adopters may also be recording double-digit losses as Ethereum falls back to September 2017 prices and Bitcoin eyes dipping below the 70 percent retracement level.
Fear, uncertainty and doubt (FUD) may easily find footing in a bear market; however, Armstrong seems to believe that the technological prowess of cryptocurrency will be the cure-all for worried investors.
Speaking at the Bloomberg Players Technology Summit, the Coinbase co-founder stated:
“This technology is going through a series of bubbles and corrections, and each time it does that, it’s at a new plateau. People’s expectations are all over the map, but real-world adoption has been going up.”
According to Armstrong, whom Fortune recently ranked as the 20th most influential business figure in the world, approximately 10 percent of digital assets are currently used for non-investment options such as online payments, games, etc.
That said, Armstrong believes Starbucks will stay off the menu for the time being, despite the company’s participation in the NYSE parent company’s new cryptocurrency adoption venture. Speaking to Bloomberg, he noted:
“I think it will be quite some time before you cross the street to Starbucks in the U.S. and pay with crypto.”
Armstrong did not compare the company’s current daily sign-ups to previous growth rates; however, Coinbase’s 20 million users suggests that, on average, the exchange has signed up 25,600 new users every day since Nov. 27, 2017.
Nonetheless, Coinbase appears eager to reel in a few bigger fish, having just halved fees on its Index Fund. Plus, with a minimum investment size of $250,000, Coinbase’s fund is effectively doubling down on its ambition to attract “a new category of institutional investors into the cryptocurrency space.”
Cover Photo by Bobby Johnson on Unsplash