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Yahoo
2 days ago
- Business
- Yahoo
Coinbase, Circle rally as stablecoin momentum heats up
Coinbase (COIN) and Circle (CRCL) shares rose sharply on Thursday as both the crypto exchange and the stablecoin issuer emerged as major winners of growing enthusiasm around digital tokens. Coinbase gained 5% to notch its first all-time high since November 2021. The stock has surged more than 40% since the Senate passed the GENIUS Act last week. The landmark legislation is aimed at establishing a regulatory framework for stablecoins, digital tokens backed by assets such as the US dollar and short-term treasuries. Bernstein analyst Gautam Chhugani this week dubbed Coinbase the "Amazon of crypto financial services." His team raised their price target on the stock to a Street high of $510 from $310, with an Outperform rating. On Thursday, shares traded near $375 each, more than 950% above their "crypto winter" lows in late 2022 following the collapse of FTX. Today, analysts point to Coinbase's buildout of a suite of crypto financial services beyond trading, including the stablecoin industry. Earlier this month, shopping platform Shopify (SHOP) partnered with Coinbase and payment processing company Stripe ( to launch digital wallet stablecoin payments, allowing merchants to accept the tokens globally. Read more about Coinbase and Circle's stock moves and today's market action. Meanwhile, shares of Circle, of which Coinbase owns a minority stake, have also soared. The stock is now up more than 575% from its IPO price of $31 per share as investors bet on the rapid global adoption of the company's flagship product, USDC stablecoins. "We view Circle as a top-tier crypto 'disruptor' with a sizeable future opportunity," Jeff Cantwell wrote last week. The firm sees "the stablecoin 'market cap' potentially reaching $2T over the longer-term, from roughly $260B today." Momentum around Circle has also been fueled by a wave of new stablecoin initiatives from major financial players. Read more: Can you buy crypto with a credit card? See the pros and cons. On Monday, fintech firm Fiserv (FI) announced plans to launch a digital asset platform, including a new stablecoin (FIUSD) by the end of this year using existing infrastructure from issuers Paxos and Circle. One analyst, however, warned of possible share price pressures later this year as competition in the stablecoin space intensifies. "We expect competition to accelerate after stablecoin legislation passes," Compass Point analyst Ed Engel wrote in a note Tuesday. "This influx of competition could reduce long-term market share expectations and pressure CRCL shares in 2025." Engel and his team initiated coverage of the stock with a Neutral rating and $205 price target. On Thursday, shares of Circle were trading near $210 a piece. Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on X at @ines_ferre. Click here for in-depth analysis of the latest stock market news and events moving stock prices Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Coinbase Shares Hit First Record Since 2021 on Stablecoin Fervor
(Bloomberg) -- Coinbase Global Inc. shares closed at the highest level ever, capping off a rally fueled by growing acceptance of the cryptocurrency industry on Wall Street and in Washington. US Renters Face Storm of Rising Costs Philadelphia Transit System Votes to Cut Service by 45%, Hike Fares Mapping the Architectural History of New York's Chinatown Squeezed by Crowds, the Roads of Central Park Are Being Reimagined US State Budget Wounds Intensify From Trump, DOGE Policy Shifts The crypto-exchange operator's stock rose 5.5% on Thursday to $375.07. The previous high was $357.39 in November 2021, just months after the company went public through a direct listing. Coinbase shares have surged more than 1,000% from a record low in late 2022, which came as the collapse of FTX raised questions about the future of digital assets. The stock's comeback occurred as cryptocurrency prices rebounded and the industry won powerful new allies, including US President Donald Trump. Just last month, Coinbase was added to the prestigious S&P 500 Index. The rally's final leg occurred after the US Senate passed legislation for stablecoins pegged to the dollar, which are seen as a promising payment method. Revenues from sources like stablecoins will likely allow the company to reduce its reliance on trading revenue that is coming under pressure as competition grows, Benchmark analyst Mark Palmer said. The stock's performance serves as 'validation of the road map that Coinbase management had laid out to diversify its platform and position itself for long-term growth,' Palmer said. 'It also signals that the market is acknowledging that crypto is here to stay.' Coinbase shares are up more than 45% since the Senate bill passed last week. The exchange has a revenue-sharing agreement with newly public stablecoin issuer Circle Internet Group Inc., which also staged a furious rally. Shares of traditional payment firms Mastercard Inc. and Visa Inc. have been under pressure lately, even though the companies have their own stablecoin initiatives. Crypto-linked stocks are notoriously volatile, and Coinbase shares will likely remain vulnerable to another downturn in token prices. Wall Street's predictions suggest the stock is overpriced, with the average target sitting at just $287, according to data compiled by Bloomberg. Yet Palmer, who has a buy rating on the shares, sees a further surge to $421. In a note dated Wednesday, Bernstein analyst Gautam Chhugani raised his price target to a Street-high of $510 — above the stock's intraday record of $429.54 on the day of its 2021 debut. 'The US government intends to bring in a new digital assets framework including the stablecoin bill and a digital asset market structure bill, which would bring crypto capital markets back to the US,' wrote Chhugani, who rates the shares as outperform. 'As the regulatory headwinds for the crypto industry have receded, Coinbase has emerged as the premier crypto financial platform,' he said. --With assistance from Dave Liedtka. (Updates shares throughout to reflect market close.) How to Steal a House Inside Gap's Last-Ditch, Tariff-Addled Turnaround Push America's Top Consumer-Sentiment Economist Is Worried Apple Test-Drives Big-Screen Movie Strategy With F1 Luxury Counterfeiters Keep Outsmarting the Makers of $10,000 Handbags ©2025 Bloomberg L.P.
Yahoo
2 days ago
- Business
- Yahoo
Coinbase, Circle rallly as stablecoin momentum heats up
Coinbase (COIN) and Circle (CRCL) shares rose sharply on Thursday as both the crypto exchange and the stablecoin issuer emerged as major winners of growing enthusiasm around digital tokens. Coinbase gained 5% to notch its first all-time high since November 2021. The stock has surged more than 40% since the Senate passed the GENIUS Act last week. The landmark legislation is aimed at establishing a regulatory framework for stablecoins, digital tokens backed by assets such as the US dollar and short-term treasuries. Bernstein analyst Gautam Chhugani this week dubbed Coinbase the "Amazon of crypto financial services." His team raised their price target on the stock to a Street high of $510 from $310, with an Outperform rating. On Thursday, shares traded near $375 each, more than 950% above their 'crypto winter' lows in late 2022 following the collapse of FTX. Today, analysts point to Coinbase's buildout of a suite of crypto financial services beyond trading— including the stablecoin industry. Earlier this month, shopping platform Shopify (SHOP) partnered with Coinbase and payment processing company Stripe ( to launch digital wallet stablecoin payments, allowing merchants to accept the tokens globally. Read more about Coinbase and Circle's stock moves and today's market action. Meanwhile, shares of Circle, of which Coinbase owns a minority stake, have also soared. The stock is now up more than 575% from its IPO price of $31 per share as investors bet on the rapid global adoption of the company's flagship product, USDC stablecoins. "We view Circle as a top-tier crypto 'disruptor' with a sizeable future opportunity," Jeff Cantwell wrote last week. The firm sees "the stablecoin 'market cap' potentially reaching $2T over the longer-term, from roughly $260B today." Momentum around Circle has also been fueled by a wave of new stablecoin initiatives from major financial players. Read more: Can you buy crypto with a credit card? See the pros and cons. On Monday, fintech firm Fiserv (FI) announced plans to launch a digital asset platform, including a new stablecoin (FIUSD) by the end of this year using existing infrastructure from issuers Paxos and Circle. One analyst, however, warned of possible share price pressures later this year as competition in the stablecoin space intensifies. "We expect competition to accelerate after stablecoin legislation passes," Compass Point analyst Ed Engel wrote in a note Tuesday. "This influx of competition could reduce long-term market share expectations and pressure CRCL shares in 2025." Engel and his team initiated coverage of the stock with a Neutral rating and $205 price target. On Thursday, shares of Circle were trading near $210 a piece. Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on X at @ines_ferre. Click here for in-depth analysis of the latest stock market news and events moving stock prices Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
Sam Bankman-Fried On Stage: Wild Musical On FTX Founder's Time In The Same Prison As Diddy And Luigi Mangione Makes Sold-Out Debut
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. The story of disgraced FTX founder Sam Bankman-Fried has made it to live theater... sort of. 'Luigi: The Musical,' a brazen satirical comedy that centers on the brief time Luigi Mangione, the alleged killer of United Healthcare CEO Brian Thompson, shared the same prison facility with music mogul Diddy and Bankman-Fried, made its sold-out debut in the 49-seat Taylor Street Theater San Francisco on June 13. Don't Miss: — no wallets, just price speculation and free paper trading to practice different strategies. Grow your IRA or 401(k) with Crypto – . The show, which still has at least four more sold-out repeat performance dates, uses the three characters as literary devices to critique the healthcare, entertainment and technology industries, one of the show's creators, Caleb Zeringue, told San Francisco Chronicle in April. These are institutions that are failing in trust, Zeringue said. 'It's about posing the questions and trying to deepen the conversation ... around these more difficult and hot-button issues,' Johnny Stein, who plays Mangione, told CNN. The show portrays Bankman-Fried as 'an insufferable nepo baby,' The U.K. Independent said in a review. In a song titled 'Bay Area Baby,' comedian Andre Margatini, who plays Bankman-Fried, sings, 'I'm a Palo Alto nepo baby extraordinaire / and if you say something is illegal I just don't care,' according to The Independent. Bankman-Fried's character, at one point in the play, also attempts to bribe a guard by proposing to tokenize the concept of incarceration, a jab at the cryptocurrency industry's penchant for wanting to bring everything on-chain. The show also makes jokes about Bankman-Fried's awkward nerdy demeanor, a review by The San Francisco Chronicle said. Trending: New to crypto? on Coinbase. Despite reported shabbiness, the show appeared to have been well received on its premier as the audience responded with a standing ovation. The show's San Francisco run is scheduled to culminate in a sold-out eighth performance at The Independent, a 500-capacity auditorium in the city. 'Luigi: The Musical' comes as efforts to bring Bankman-Fried's story to the small screen are gaining momentum. At the end of May, Netflix said that its planned miniseries on the rise and fall of FTX would be called 'The Altruists,' featuring Anthony Boyle as Bankman-Fried and Julia Garner as Bankman-Fried's business and sometimes romantic partner Caroline Ellison. Filming for that series reportedly starts in the summer. At the height of Bankman-Fried's influence, he sat atop a $32 billion empire and was hailed as a cryptocurrency wunderkind. Just months before the eventual collapse of his empire, CNBC host Jim Cramer dubbed Bankman-Fried 'the new J.P. Morgan' as he offered lines of credit to embattled cryptocurrency firms. Bankman-Fried's cryptocurrency empire collapsed in November 2022 amid revelations of fraud and mismanagement that saw customer and investor funds funneled toward personal interests. He was convicted on multiple counts of fraud and money laundering in 2023 and is serving a 25-year prison sentence. Read Next: A must-have for all crypto enthusiasts: . Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Image: Shutterstock This article Sam Bankman-Fried On Stage: Wild Musical On FTX Founder's Time In The Same Prison As Diddy And Luigi Mangione Makes Sold-Out Debut originally appeared on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
Bankrupt Crypto Exchange FTX Slams Three Arrows Capital's $1.53B Claim: '3AC Is Owed Nothing'
Bankrupt crypto exchange FTX has said it should not have to pay a massive $1.53 billion recovery claim by Three Arrows Capital, arguing in a recent court filing that the crypto hedge fund's 'own risky [trading] strategy caused its collapse, and its own account activity — not any action by [FTX] — resulted in a significant decline in the 'value' associated with the 3AC Accounts in June 2022.' '3AC bet big that cryptocurrency prices would increase using cash it did not have and, when prices instead plummeted, 3AC proceeded to liquidate the risky bets it had placed and withdraw assets from [FTX],' FTX's lawyers wrote in the filing. The Delaware court overseeing FTX's bankruptcy gave 3AC's liquidators permission to expand their claim earlier this year, bumping it up significantly from their original claim of $120 million. This came after 3AC's lawyers allegedly discovered new evidence suggesting that FTX had liquidated $1.53 billion of 3AC's assets two weeks before the hedge fund started its own liquidation proceedings in June 2022. FTX's lawyers say the liquidation of 3AC's assets on its platform was carried out to satisfy a loan to FTX — but 3AC's lawyers pushed back, arguing that the loan to FTX wasn't sufficiently documented or otherwise substantiated. The bankruptcy court sided with 3AC, finding insufficient evidence to support FTX's claim of a loan. In the most recent filing, lawyers for FTX's estate said that on June 12, 2022 the actual value of assets in 3AC's accounts was only $284 million — $1.017 billion in digital assets and negative $733 million in US dollars. They also added that the 'first and only' liquidation of 3AC's assets ordered by FTX was on June 14, 2022, and swapped $82 million in crypto for cash — a move they argued 'actually benefitted 3AC (not FTX).' 'The Joint Liquidators grossly inflate the actual $284 million value of assets associated with the 3AC Accounts on June 12, 2022 by more than $1.2 billion, and they ignore that the entire loss in account value resulted from market price declines and 3AC's own withdrawals, not any action taken by FTX,' the bankrupt exchange's lawyers wrote. 'The Joint Liquidators ask this Court to force other Exchange customers and creditors to foot the bill for 3AC's failed strategy by asserting illogical and baseless claims for $1.53 billion… [T]his is a false premise that lacks any legal or factual merit, and, in fact, 3AC is owed nothing,' the lawyers added. FTX, which was at one time one of the largest crypto exchanges in the world, filed for bankruptcy protection shortly after its collapse in November 2022. The exchange's recovery trust started distributing $5 billion to FTX creditors in May. 3AC collapsed in June 2022, one month after the collapse of the Terra/LUNA ecosystem, starting a domino-like collapse of major crypto companies including Voyager, Celsius, BlockFi and Genesis. 3AC has until July 11 to file an objection before the hearing set for August in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
