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Coinbase plans to raise $2 billion by selling convertible senior notes in a private offering.
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Funds may be used for acquisitions, product development, or general business needs.
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The move follows a 25% drop in quarterly revenue.
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COIN stock has declined in recent trading.
Convertible Notes Raise Strategic Capital
Coinbase will offer $2 billion in convertible senior notes to institutional investors. These notes will mature in 2029 and 2032 and may be converted into cash, Coinbase stock, or a mix of both.
The offering follows a similar $1 billion notes sale last year. At that time, Coinbase used the funds to acquire the Deribit exchange in a $2.9 billion deal.
Stock Performance and Financial Pressures
Coinbase’s stock closed at $314.69 on Monday but dipped nearly 2% in pre-market trading Tuesday. The company’s revenue has dropped 25% compared to the previous quarter, partly due to a major data breach in May.
Despite these setbacks, Coinbase reported gains from its stake in Circle, the stablecoin issuer, and remains one of the most recognized brands in crypto.
