Wednesday, 23 June 2021

Coinbase verified users projected to grow by 30% in 2021 to hit over 70 million

 

Coinbase has continued to attract the attention of the crypto sector with moves like listing as a publicly traded company. Notably, the exchange's popularity is also reflecting in the future user base growth.

According to data analyzed by Finbold, Coinbase verified users are projected to hit 72.8 million by the end of 2021. The projection is based on an analysis of the exchange's verified user growth rate over the last three years and several fundamental factors.

During Q1 2021, the exchange recorded 56 million verified users who are therefore projected to grow by 30% resulting in 16.8 million new users by Q4, 2021.

In 2020, Coinbase had 35 million verified users, while in 2019, the figure was at 30 million. In 2018,2017, 2016 and 2015, the exchange verified users stood at 22 million, 13 million, 5 million, and 2 million, respectively. Since opening its business in 2012, Coinbase attained the one million users milestone in 2014.

Bitcoin price movement's impact on Coinbase user growth

The report identifies the bitcoin price movement as a key fundamental factor that will inspire Coinbase's new user growth figures. According to the research report:

“Although Bitcoin's value has plunged with asset trading sideways, the cryptocurrency's sentiments also put focus on exchanges like Coinbase. Most crypto opinion leaders agree that the correction of bitcoin is forming ground for the asset's resurgence towards the end of 2021. Historically, such a resurgence has always resulted in new investors from the retails side as the fear of missing out sets in. Thus, the situation places exchanges like Coinbase to reap.”

Historically, Coinbase user growth is tied to the exchange's reputation in the industry, user-friendly design, educational materials, competitive fees, and the continued addition of new digital assets. These factors will also play a vital role in the platform's future growth. 

 


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