Coinbase Wants to Buy Back Some of its Bonds Worth $1billion
Coinbase plans to buy back bonds and pays extra for early sellers, despite recent earnings challenges.
Coinbase, a big crypto company in the U.S., plans to buy back some of its bonds worth $1 billion. They want to buy up to $150 million of these bonds by paying more money than they are worth.
Coinbase will pay a “special" $30 extra for people who sell their bonds early. If people sell their bonds before August 18, 2023, they will get $645 for each $1,000 bond. But, if they sell after this date, they will get $615 for each $1,000 bond. This is more than the bond's regular price.
The company has three types of bonds in total. This offer is for the ones that will end in 2031. Big companies often buy back bonds to save money and look better financially.
Coinbase made $708 million in the second part of 2023. This is less than before, but it's still good because people thought they would make only $662 million.
They made less money because of some problems with U.S. rules. The U.S. SEC said Coinbase broke some laws, which is hurting their earnings.
Most of the money Coinbase made was from big companies trading, not regular people. Their boss, Brian Armstrong, said they had challenges but are still ready to grow in the future.
Reported by Coinpaprika News
