Shares in cryptocurrency platform Coinbase (COIN) jumped after a federal appeals court ruled in favor of Grayscale’s request to convert its spot Bitcoin Trust (GBTC) into an ETF. Yahoo Finance Live took a look at Coinbase‘s stock action and how crypto assets like bitcoin and ethereum reacted to the news.
Coinbase, the stock is popular there. Stocks related to the cryptocurrency space rallied during today’s trading session and are currently closing close to 15%, rising after a federal appeals court ruling in favor of a spot bitcoin ETF, all in tandem with Grayscale and Ruling, I should say they ruled against the SEC in favor of Grayscale.
Right now, Coinbase is excited, I think, and there are some conflicting opinions on the street, because Mizuho’s Dan Dolev actually put out a note saying that he doesn’t think it’s going to really do Coinbase any material good. But, Akiko, we’ve seen the excitement in Coinbase, the excitement in Bitcoin today, and we’ve certainly seen a lot of asset managers wanting to get into the spot Bitcoin ETF space.
AKIKO FUJITA: Yes, Mizuho Bank’s Dan Dolev says just because the platform offers cryptocurrency doesn’t necessarily mean it’s a positive, as it could actually increase competition and really put pressure on Coinbase’s retail acceptance rate . He already has an underweight rating on the stock. But it’s worth noting that it’s not just bitcoin and ethereum, the major cryptoassets we closely watch, that are up today. We also saw a number of bitcoin mining companies also jumping sharply against this backdrop, with Ride and Marathon Digital Holdings also up intraday.
