Coinbase Global Inc., one of the largest cryptocurrency exchanges in the United States, has revealed that it was once considered a high-stakes Bitcoin buying strategy similar to strategy founder Michael Saylor.
However, the company ultimately decided to go all-in with Bitcoin, citing concerns about risks to startup status. Financial stability.
Coinbase has chosen risk management over Saylor-style Bitcoin gambling
During a video discussion on X Social Networks on Friday, Coinbase CEO Brian Armstrong looked back at his company’s decisions. He acknowledged that the idea of putting 80% of the balance sheet in crypto, especially Bitcoin, is interesting at various times over the past 12 years. But just as it was appealing to get involved in the action, Coinbase didn’t want to take such a dangerous route.
Armstrong said the movement was calculated by assessing risk. He said that by winning everything with Bitcoin, the startup’s financial solvency was put in danger and perhaps “killed” the company. It was a reasonable decision that arises from how well you manage risk.
Coinbase refused to win a Bitcoin bet created by Saylor’s company, but still sits in a rather substantial crypto portfolio. However, according to the latest shareholder letter, the company purchased $153 million in cryptocurrency, primarily Bitcoin, in the first quarter of 2025. Its investment portfolio is currently worth $1.3 billion in crypto assets.
Coinbase Chief Financial Officer Alesia Haas also appeared in the X Discussion, highlighting the company’s conservative attitude. She said she didn’t want the company to look like a competition from crypto investors’ clients. Haas also said the company will grow its crypto holdings.
Companies follow Saylor’s lead, emulating his Bitcoin strategy
Meanwhile, other companies have attempted to replicate Saylor’s model, which funds Bitcoin purchases by issuing stocks and debts. Strategic Bitcoin purchases have skyrocketed over 3,000% since its stocks began in 2020, and are bolstered by an increase in the value of cryptocurrency. Currently, the strategy holds around $54 billion in Bitcoin.
Currently, several other companies and new entities follow Saylor’s approach, offering investors different ways to get exposed to Bitcoin. Among these are Tweenty-One Capital Inc., such as Cantor Fitzgerald LP, Tether Holdings SA, and SoftBank Group Back. Meanwhile, a subsidiary of Strive Enterprises co-founded by Vivek Ramaswamy has merged with Asset Entities Inc. to form Bitcoin Treasury Company.
Other news announced on Friday that stocks in the upcoming Technology Holding Inc. surged more than 600%, causing inventory to halt volatility after the Beijing-based software company announced a massive rise from 833 BTC to 5,833 BTC.
Coinbase trades 24/7 Bitcoin and Ethereum futures with US investors
on friday, Coinbase derivatives It officially activates 24/7 trading of Bitcoin and Ethereum futures, making it the first CFTC regulated derivative exchange to provide 24/7 access to US crypto futures contracts.
Coinbase first revealed its initiative in March, aiming to close the gap between traditional US trading hours and the global crypto market, which accounts for more than 75% of global trading volume. Exchange offers both nano and large contracts.
Coinbase’s latest offering allows investors to trade, hedge and manage exposure around clocks, matching the non-stop nature of the crypto market. Exchange has built its infrastructure to support this new setup and all transactions have been cleared through Nodal Clear, a CFTC regulations clearing house that operates 24/7. Major companies like Virtu Financial Help provide liquidity.
While Coinbase continues to be cautious about fully adopting a Bitcoin-centric strategy, the surge in interest in the crypto-based Corporate Treasury highlights the appeal of Bitcoin as a valuable storage for the corporate world.
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