Coinbase, an online trading platform for the digital currency, is being greatly affected by the bear market for Bitcoin and other tokens. Over the past few days, the plunge in prices has caused the download ranking for Coinbase to fall extremely low. It has fallen to its lowest among U.S. finance apps since April last year.
December of 2017 saw Coinbase hit the top spot for free apps in the U.S. App Store. At the time, Bitcoin, with a price jump of over 20 percent within just 24 hours, was at a record of $19,000. Since then, Bitcoin has lost more than two-thirds of its value. Following this, Coinbase’s app fell to number 40 on the download rankings in June.
Coinbase generates revenue by charging transaction fees to users, and last year, it stood at $1 billion. Risen from its valuation of $1.6 billion in 2017, Coinbase reportedly has a valuation of about $8 billion.
Coinbase aims to create an open financial system wherein it stands as the top brand recognized for helping people convert digital currency into their local currency.
Brian Armstrong, co-founder and CEO of Coinbase, however, seems optimistic in his views despite the staggering situation. He took to Twitter to express that these short-term prices and negative headlines are not worrisome for the company. He said that downturn, in fact, helps in the process of clearing out people who may be in the market for the wrong reasons.
Bitcoin has hit as low as $7000 this year, in what is being called the “Crypto Winter.” Like Armstrong, however, people are hopeful that the market will see recover soon and the crypto world will surpass this cold winter.
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