Why did Coinbase choose the Nasdaq private equity trading platform?
Source: 36氪
On February 2, according to media reports, the top encryption trading platform Coinbase has chosen to launch transactions on the Nasdaq Private Market, a private equity trading platform. So what are the conditions for financing on this platform? The following is translated from 36 Krypton, please see the link at the end of the article for the original text.
On March 6, 2014, NASDAQ and SharesPost jointly launched a pre-IPO The trading market "Nasdaq Private Market", unlisted companies can use this platform to raise funds and manage their private stock transactions.
According to venturebeat , in addition to direct financing through Nasdaq Private Market for unlisted companies, company employees can also trade companies on it stock. At the same time, certified investors can obtain the original shares of unlisted companies.
This actually means that Nasdaq has joined the field of companies like AngelList, SecondMarket, Crowdfunder, etc., providing companies with public financing other than traditional IPOs channel.
But this does not mean that any company can raise funds on the Nasdaq Private Market like the crowdfunding platforms mentioned above. Certain conditions must be met: the company Must have raised at least US$30 million in the past 2 years, or have a valuation of more than US$50 million, and must achieve an annual net profit of US$750,000.
In fact, this also provides another option for companies that want to go public. They can flexibly consider whether they need to go public or directly list on Nasdaq Private Fundraising on the Market.
< /p>
This is not the first time Nasdaq has tried to enter the private stock trading market. As early as May 2011, it launched a The platform BX Venture Market, and in 2007 Nasdaq also launched an unregulated platform Portal Market, but both were unsuccessful.
The reason why Nasdaq Private Market has attracted more attention is precisely because of the passage of the JOBS Act, which made the previous listed companies only have a limit of 500 shareholders when disclosing financial reports It became 2,000, which also made private stock trading in the secondary market more feasible.
What companies preparing to go public don’t need to worry about is that even if they have raised funds on the Nasdaq Private Market before going public, they can freely choose their own after the IPO The listed exchange will not be tied to Nasdaq. This is also in light of Nasdaq’s trading glitches when Facebook went public (Twitter had previously chosen NYSE instead of Nasdaq for its IPO).
Welcome to join the official BlockBeats community:
Telegram Subscription Group: https://t.me/theblockbeats
Telegram Discussion Group: https://t.me/BlockBeats_App
Official Twitter Account: https://twitter.com/BlockBeatsAsia
Related Articles
