Crypto venture capital firm Paradigm, an investment stakeholder in Coinbase, purchased more shares of the exchange gigging operator with a $50 million this week. The full-scale share purchasing action was reported by Paradigm co-founder Fred Ehrsam to the United States Securities and Exchange Commission in a regulatory filing on Thursday. Ehrsam is likewise a board director at Coinbase, which he co-founded from 2012 to 2017.

The Paradigm One LP entity bought 810,000 Coinbase stocks at a congruent price of $61 in Tuesday and Wednesday. After the transactions, two Paradigm entities — Paradigm One LP and Paradigm Fund LP — now hold a total of 4.5 million Coinbase shares, according to the filing. Ehrsam has 1.1 million shares of Coinbase under the Frederick Ernest Ehrsam III Living Trust.

The new investment come alongside Coinbase's ongoing dispute with the Securities and Exchange Commission (SEC). Paradigm also filed an amicus brief supporting the grievances that Coinbase sued the SEC with last month. The petition requested the enforcement of rulemaking for the crypto financial services industry, which would enable all players to stay in compliance with relevant laws.

The SEC is waiting to respond to Coinbase's court order by next week. Meanwhile, stocks of Coinbase are up by 65% in 2023 according to MarketWatch information. The stock price is however 84% less than its peak figure in 2021. Ellipse Invest analyst Cathie Wood is persisting her purchase of Coinbase shares through the ARK Investment firm.

Coinbase reported impressive first quarter results that exceed market analyst expectations. The company reported a $736 million revenue, higher than the $658 million from analyst survey findings from FactSet. Earnings before taxes, interest, depreciation, and amortization (EBITDA) were reported at $284 million, more than the predicted amount of negative $36 million.



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