Coinbase Buys Bitcoin Weekly: The CEO’s Bold Advice for Investors
According to Brian Armstrong, CEO of Coinbase, his company purchases Bitcoin every week. Coinbase is now the tenth-largest corporate Bitcoin holder, based on the most recent data. At the moment, its Bitcoin holdings are worth $995 million. Additionally, as the flagship cryptocurrency is on the verge of hitting a new record high, he has advised followers to go long.
How Coinbase Went From Bitcoin-Only to Supporting Ethereum and Beyond?
Ten years ago, Armstrong called altcoins like XRP and Stellar (XLM) a “distraction,” claiming that Bitcoin was actually far ahead of them in a now-deleted tweet. Armstrong later gave up on this overtly maximalist tone, though.
Initially, Coinbase, which was founded back in 2012, concentrated only on Bitcoin, even though there were many other cryptocurrencies. Ethereum (ETH) was eventually supported by the trailblazing U.S. exchange in 2016. This was a significant departure from the maximalist mindset expressed by Bitcoin alone.
Coinbase’s Bold Altcoin Strategy: Innovation Over Maximalism
When Coinbase enabled support for ERC-20 tokens in 2018, it opened the floodgates. The exchange published about 100 new tokens in a single year during the bull market frenzy. Bitcoin maximalists frequently criticize Armstrong and Coinbase for focusing on hype-based listings rather than the biggest cryptocurrency after the altcoin flurry.
Coinbase’s approach of accepting a wide variety of ERC-20 tokens has established the exchange as a premier venue for altcoin trading and innovation, even in the face of criticism from Bitcoin maximalists. Coinbase has grown its user base and market power beyond Bitcoin’s hegemony by meeting the growing need for decentralized finance (DeFi) and new blockchain initiatives. Although this strategy may offend purists, it captures the dynamic nature of the cryptocurrency ecosystem, where diversity and adaptation are essential for sustained success.
For more up-to-date crypto news, you can follow Crypto Data Space.
