Coinbase share price rises after sponsorship deal with NBA and alliance with Facebook

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Coinbase share price rises after sponsorship deal with NBA and alliance with Facebook By Hannah perez

It looks like Coinbase is on a roll this Tuesday. The company’s share price has risen 3.8% amid two notable deals and a historic moment for the crypto market.

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The shares of the cryptocurrency exchange Coinbase on the Nasdaq stock market rose nearly 4% this Tuesday amid a series of prominent announcements. Among them, the National Basketball Association o NBA, the United States professional basketball league, has just become an exclusive partner of the cryptocurrency platform Coinbase.

The announcement coincided with other notable news from the exchange and the rally in the share price. While the increase is modest, it is significant for investors as it is the first time that ‘COIN’ stocks have risen above the USD $ 300 barrier since its official launch in the US market in April this year.

Coinbase signs sponsorship deal with NBA

According to a Press release, the digital currency company inked a series of endorsement deals with the NBA and the Women’s National Basketball Association (WNBA), as well as for leagues affiliated with the NBA and USA Basketball. The multi-year agreement will include that the logo and trademark of Coinbase will appear during televised games of the aforementioned leagues.

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In addition, it is the NBA’s first partnership with a cryptocurrency exchange company. The agreement, which will begin tonight with the NBA using the brand of Coinbase During the televised season start, it will also involve content creation as well as campaigns that will aim to educate fans about developments in the world of cryptocurrencies.

Coinbase now it joins the list of ecosystem platforms such as FTX that have also signed similar agreements with sports teams. Regarding the initiative, Kate Rouch, marketing director of Coinbase, highlighted in the statement:

As a trusted cryptocurrency platform used by millions, Coinbase naturally fits in as the NBA’s first partner.[…] The freedom to participate and benefit from the things you believe in is at the heart of Coinbase’s mission. No one believes this more than NBA and WNBA fans. We are proud to become the official cryptocurrency partner of the leagues.

Partnership with Facebook for Novi Wallet Pilot

The breakdown of the USD $ 300 barrier in the stock price of Coinbase it also coincided with the announcement of a new partnership with Facebook. As we reported earlier, the social media giant reported on Tuesday the start of a pilot program for its digital wallet. I did not see which will include Coinbase and to the cryptocurrency brokerage platform, Paxos.

According to a statement, Coinbase will help Facebook with the logistics of the tests, providing the social platform with its cryptocurrency custodian services through Coinbase Custody. The exchange It said that it will store the cryptocurrencies that Facebook offers to users who sign up for the trial version of Novi.

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Users who participate in the pilot program, which will initially be carried out in the United States and Guatemala, will be able to acquire and transfer the stablecoin from Paxos, USDP, through the wallet. While, Coinbase Custody will be compatible with I did not see to keep user funds safe with its cold storage capacity.

The launch of the program is a victory for Facebook, which has been working on a cryptocurrency project since 2018. However, the social network’s plans were postponed due to pushback from regulators. Now, for the first time, the company will test its crypto wallet in a partnership that is also favorable to the largest cryptocurrency exchange in the US.

First ETF and rally bullish match the rise

The rise in the share price of Coinbase It comes at a historic moment for the cryptocurrency industry. This Tuesday the first ETF of Bitcoin from the US; This is the exchange-traded fund of ProShares, which is linked to futures of bitcoins.

The news has caused quite a stir among digital currency investors, generating a widespread bullish movement in the market. The largest cryptocurrency, Bitcoin, has managed to conquer USD $ 63,000 for the first time since May and registers a growth of more than 13% in the last week. The movement extends among the main digital assets, which remain on the rise this Tuesday.

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With cryptocurrency market capitalization topping $ 2.5 trillion, sentiment among investors appears to remain especially bullish; a trend that possibly responds to the anticipation and approval expectations of other crypto ETFs.

The market outlook and recent announcements appear to have boosted stocks in Coinbase, which have risen more than 30% since hitting lows in late September. By the time of editing, Each COIN share is priced at USD $ 305.5.

Coinbase share price rises after sponsorship deal with NBA and alliance with Facebook
Data of Yahoo Finance!

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Sources: Yahoo Finance, CNBC, The Block, Decrypt

Article by Hannah Estefanía Pérez / DailyBitcoin

Image from Unsplash

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