Digital wallet and crypto exchange Coinbase is adding an investment arm to their company. In a blog post, the company announced the creation of Coinbase Ventures – just the latest expansion of the digital asset platform.
Coinbase said they are “rooting for the best and brightest minds in the crypto space, both in and outside of Coinbase” as they work to support the digital asset landscape and legitimize the blockchain industry.
Coinbase Ventures will be providing financing to early stage companies to help spur on the development of the ecosystem. Coinbase said they may invest in companies that are competitors with with their own company.
Coinbase recently positioned itself to handle crypto beyond the Bitcoin, Litecoin and Ethereum they enable now. Coinbase will soon support ERC20 assets across their product line thus potentially entering the initial coin offering realm.
Running an exchange operation has become quite profitable for many market entrants. Since 2012, Coinbase has traded over $50 billion in digital currencies. It was reported at the beginning of 2017, the Coinbase generated in excess of $1 billion in revenue allowing it to avoid external financing and now investing in other crypto firms.