Coinbase raised to Overweight at J.P. Morgan on ability to monetize Base, UDC payouts

[Cryptocurrency Crypto Apps - Binance, Circle, Coinbase]

Coinbase Global (NASDAQ:COIN [https://seekingalpha.com/symbol/COIN]) stock climbed 4.0% in Friday morning trading after J.P. Morgan upgraded the crypto exchange to Overweight from Neutral, citing it expectation the company will explore a Base token further explore USD Coin (USDC-USD [https://seekingalpha.com/symbol/USDC-USD]) payouts.

Note, too, that crypto prices climbed after the delayed CPI data showed that inflation has cooled slightly, leading financial markets to expect another rate cut at the Federal Reserve's October 28-29 meeting.

Analyst Kenneth B. Worthington sees a $12B-$34B opportunity for Coinbase (NASDAQ:COIN [https://seekingalpha.com/symbol/COIN]) in launching a Base token, which he expects to accelerate the growth of development on the Base blockchain, with the added benefit of "enabling Coinbase to equitize the success in what is the largest L2 on multiple metrics."

Furthermore, experimenting with yields on USDC Rewards could drive further growth of Coinbase One and better monetize on-platform USDC, Worthington said.

The Overweight rating on Coinbase (NASDAQ:COIN [https://seekingalpha.com/symbol/COIN]) contrasts with the SA Quant rating [https://seekingalpha.com/symbol/COIN/ratings/quant-ratings]and the average SA Analyst rating [https://seekingalpha.com/symbol/COIN/ratings/author-ratings]of Hold, and aligns with the average Wall Street rating [https://seekingalpha.com/symbol/COIN/ratings/sell-side-ratings]of Buy.

MORE ON COINBASE

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* Coinbase: A Risky Bet As Trading Fervor Cools Down [https://seekingalpha.com/article/4825382-coinbase-a-risky-bet-as-trading-fervor-cools-down]
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