+25 Million & Counting: Coinbase Again at 25,000 New Users Per Day
October 3, 2018 by William Peaster
Amid the revving cryptoeconomy of November 2017, crypto exchange Coinbase started adding as many as 100,000 users a day. A newly published spreadsheet from Alistair Milne pegs that number as currently being around 25,000 per day, “comparable to mid-2017” Milne said. That figure marks a slowdown from the market’s peak but is on par with demand seen as 2017’s bull run began to form.
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The State of the Users Is Strong
In a spreadsheet of Coinbase statistics compiled by Altana Digital Currency Fund chief investment officer Alistair Milne, users can track for themselves where Coinbase’s userbase has been and where it’s at now: 25 million coiners strong with more than 25,000 new users presently being added every day.
The latter figure, accurate as of the end of September 2018, shows that daily user growth is down from the +62,000 per-day average seen back in March of this year though roughly on par with the levels of demand seen between May 2017 and October 2017, as Milne pointed out on Twitter.
Coinbase Growth Update:
– added ~5million users in the last 6 months, now have 25mil
– average of ~25,000 users/day is comparable to mid-2017
Data here: https://t.co/R9B63J2d6Q#bitcoin pic.twitter.com/MITLacwC5L
— Alistair Milne (@alistairmilne) October 3, 2018
Notably, it was in March 2018 that Coinbase first reached 20 million users, meaning the exchange’s userbase has swelled by 25 percent in the last half year, as Milne also highlighted.
Coinbase achieved its first 1 million customers around March 2014, so its 25 million users today signals a 2,400 percent increase in just over four years.
Coinbase chief operating officer Brian Armstrong predicted his own 2,400 percent increase at this year’s TechCrunch Disrupt conference, except in this case the CEO said such expansion would come in the form of cryptoverse’s participants expanding from 40 million individuals to 1 billion over the next five years.
If Armstrong’s prediction pans out, then Coinbase will be well positioned to win over wide swathes of said newcomers. The exchange is currently the most popular in the United States, is flexing its political muscles toward pro-crypto legislation, and is opening up overseas offices to expand its reach.
The More Who Join, The More Exclusive the 21 Million Club Potentially Becomes
There will never be more than 21 million bitcoin, as the genesis cryptocurrency’s supply is famously hard-capped. That dynamic has led to the creation of an informal, tongue-in-cheek club called the “21 Million Club.”
It’s simple: you own at least 1 BTC, and you’re “in” the club.
A common scarcity quip you’ll hear in the space is that, “If every millionaire in the world wanted a bitcoin, they couldn’t have one — there wouldn’t be enough for every single millionaire to get 1 BTC.”
Presently, whether all the world’s millionaires will ever respectively want to join the 21 Million Club remains to be seen. But what is clear, as cypherpunk Casa engineer Jameson Lopp noted on Twitter earlier, is that now all of Coinbase’s 25 million-strong bitcoiners can no longer join the club because of … well, math.
There are not enough bitcoins for everyone with a Coinbase account to own one. https://t.co/1NJpD6N6MJ
— Jameson Lopp (@lopp) October 3, 2018
That gap is only set to grow as more and more users flock to Coinbase — and as upstarts and other competitors try to strut their stuff in kind.
Coinbase Pushes Forward, Onward
That announcement came fresh on the heels of the exchange’s launch of Coinbase Learn, a new resource center designed to help newcomers get up to speed in the cryptoverse.
Our mission is to create an open financial system for the world, and everyone must feel included. Coinbase Learn is a simple, foundational resource to help anyone and everyone educate themselves about crypto. https://t.co/dh6cTrjnNf pic.twitter.com/l3N8z7KraV
— Coinbase (@coinbase) September 30, 2018
The exchange also just agreed to a deal with trading platform Caspian in a move that will see trading and portfolio management services available to Coinbase Prime traders.
On the flip side, things haven’t been completely peachy for the exchange power as of late, as last month Coinbase contested reports that it had proprietary trading operations. It continues on unfazed for now.
What’s your take? How many users do you think Coinbase will have in 5 years? In 10? Let us know in the comments section below.
Images via Pixabay