Coinbase: Highly Overvalued At $100 Billion Valuation

Our valuation analysis suggests a range of $31.9 billion to $47.9 billion in market cap for Coinbase.Our base case valuation of Coinbase is $39.9 billion, which is nearly 60% lower than the purported private market value of $100 billion that Coinbase received recently.Overall, at an implied market cap value of $100 billion for Coinbase, we think that there is much larger potential downside risk than upside appreciation.Coinbase is highly exposed to other competitors coming out with more cut-throat lower fees for trading cryptos in the future.