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- [00:00]
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Foreign.
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Nation. We got a pretty timely debate on the podcast today. Coinbase versus Robin Hood. Two competitor companies that are going head to head into the crypto world. Coinbase, of course, the incumbent, the established crypto native company. But Robinhood coming right into crypto with pretty big announcements right on the heels of this, right on the heels of this podcast. Maybe to kind of just set the table before I introduce our two contestants here. We got Robin Hood with the ticker. Hood At $81 billion at the time of recording, it is up 135% year to date. Hood went public in July of 2021, which is not too far off from when Coinbase went public in April of that same year. Coinbase, compared to Robinhood's $81 billion is currently coming in at $85 billion and it is up just 30% year to date. But all of that 30% increase year to date has just come within in the last 30 days. So while these two competitors, these two financial aspiring super apps, are about the same valuation, there has been a little bit of trajectory difference in order to get here. Taking the side of Coinbase, we have David from Blockworks. David, welcome to the pod.
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David, thanks for having me.
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And then taking the side of Robinhood, we have Omar from Dragonfly. Omar, also welcome to the pod. Thank you very much for having me. Okay, so Omar, I have been informed that you are the most bullish person on Robinhood that a few people on my timeline know. And then David also, respectively, same thing to you with Coinbase. So we're framing this as a debate because I think you guys all have your domain knowledge in their respective companies. I'm sure your knowledge overlaps. We're not counting points here. We're not actually trying to go for a winner. We're trying to build a productive conversation. So we, as myself, because I'm curious about the dancer, but then also the listeners as well, can kind of just get a download on the nature of these two businesses because I think who wins or how they win or really just what the future lies for the, for both of these companies will shape what our industry looks like. Like I said, just two days ago, Robinhood announced their Layer two. They launched tokenized stocks and, you know, really for the first time, putting pressure on Coinbase, at least, you know, preliminarily, in order to kind of shape what the future of crypto can look like. My take is that it's nice to have two very strong competitors come into this market and we'll kind of like suss out what the differences between these companies look like as any advantages that each one has. David, I want to throw it to you first. We'll start with Coinbase. Maybe you could just start us off by giving us a sort of like lay of the land of the Coinbase company. If you popped open the hood and you looked at where Coinbase makes its money, where the coin valuation comes from and future drivers just kind of give us the 101 download that we need to start off with in order to understand Coinbase as a business.
- [03:03]
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Yeah, for sure. So Coinbase has been around for at least this point like 13 plus years. Obviously it started out as like a bitcoin fiat on ramp in the United States and over the past few years as it's evolved to a full stack, I would say on chain, established crypto, various financial services really the premier US based exchange in the United States, expanding globally today with Coinbase International, Coinbase derivatives. Today the business generates a majority of.
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Before I introduce our two contestants, we got Robinhood at $81 billion at the time of recording. It is up 100 into subscriptions and services through Coinbase in July of 2021, which is not too far off from when Coinbase went public in April that same year. Coinbase compared to Robin Hood's $81 billion is currently coming, has done a really good job and it is up just 30% year to date. 30 increase in the last three days. So while these two competitors, these two financial, you know, in this, about the same valuation, there have been a little bit of. It can have jobs of 80% but.
- [04:21]
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I think it's a very good job. David, from David, welcome to USDC partnership. David. David, thanks for having me. You know, I'd say increasing the floor of how much revenue it, it can generate throughout and full cycles.
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Okay, so I have been informed that you are the. It is not just a Robin Hood that a few people on IT does not know.
- [04:44]
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And David also really ship with Circle. It is now becoming, I would say a full stack infrastructure provider for moving the entire world's economy on chain. Over the past year or so they've launched Wallet as a service. They've launched more recently over the past 2, 3 weeks during their product announcement they launched crypto as a service and Coinbase business. What I see Coinbase today becoming is instead of just a front end or like a thin front end for, you know, the economy coming on chain is now becoming like the back end. It's more trying to become like the aws. They will not win the distribution game compared to Tradfine comments or even a Robinhood coming on chain. What they're trying to be is a B2B platform.