Just hours after announcing it would offer a tokenized version of Coinbase stock for trading, leading crypto exchange Binance has postponed the listing “due to market volatility.”
Stock tokens allow investors to buy fractions of a share without commission, while also getting dividends. Unlike actual stock holders, however, investors in token stocks have no voting rights in the company.
Binance Will List Coinbase Stock Token (COIN) to Trade Against BUSD
Crypto exchange Binance plans to list a tokenized version of crypto exchange Coinbase's stock once it goes public later today. This will let users buy and sell fractions of a share, if they so wish. Coinbase is set to go public via a direct listing on the Nasdaq, in what’s been described as a “watershed moment” for crypto. Nasdaq has given the stock, which will trade under the ticker COIN, a reference stock price of $250—providing a valuation of around $64 million. What are Binance stock tokens?...
Binance was set to list the Coinbase Stock Token (COIN) to be backed by actual Coinbase stock ($COIN), which began selling publicly today on Nasdaq. However, as one might expect of a new stock being traded via direct listing, the price is fluctuating as the public figures out what the US-based crypto exchange is worth.
$COIN’s reference price yesterday was $250, but it debuted today 52% higher at $381. It then climbed as high as $424 before sliding to $313. It’s a bit all over the place. While 15% to 20% swings are just a typical Wednesday in crypto markets, they’re less common to stocks–at least, well-established ones.
And Binance, hopeful to cash in on its rival’s big day, isn’t ready to press “go” on COIN/BUSD trading until that volatility settles.
That’s what XRP trading is for, apparently.
