Share this article
Coinbase scores $5 Million in funding
San Francisco start-up Coinbase has completed a second round of funding of $5m for future development of its Bitcoin wallet and exchange platform.
By John Oates
Updated Apr 10, 2024, 3:00 a.m. Published May 8, 2013, 11:26 a.m.
We take dollars
San Francisco start-up Coinbase has completed a second round of funding of $5m for future development of its Bitcoin wallet and exchange platform.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
The investment was led by Union Square Ventures and will be spent on hiring more staff and covering operating costs.
Company founders Fred Ehrsam and Brian Armstrong - a Goldman Sachs trader and former developer at Airbnb - told the Wall Street Journal, "We need ten people yesterday."
The company was turning over $1m a month in February, but exchanged $15m of dollars into bitcoins, or vice versa, at one per cent commission, in April. It claims 121,000 users and 300 merchants including dating site OKCupid.
It provides exchange services as well as offering online wallets for consumers and merchant services for websites or traditional businesses, which wish to take bitcoins.
Coinbase
said turnover had been constrained by it hitting maximum buys per day - sometimes within hours of opening. It hopes to improve this situation with fixes soon.
It was developed last summer at technology incubator Y Combinator which provided seed funding for Reddit, Scribd and Airbnb amongst others. Coinbase got $600,000 of seed funding in December 2012.
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Bank of Japan Set to Hike Rates to 30-Year High, Posing Another Threat to Bitcoin
Rising Japanese rates and a stronger yen threaten carry trades and could pressure crypto markets despite easing U.S. policy.
What to know:
- According to the Nikkei, the Bank of Japan (BoJ) is set to increase interest rates to 75bps, the highest level in 30 years.
- Rising Japanese funding costs, alongside falling U.S rates, could force leveraged funds to reduce carry trade exposure, increasing downside risk for bitcoin.
Top Stories
