The Toronto-based digital currency exchange platform Coinsquare has seen enormous growth over the past year, according to the company. The exchange considers itself a “coin management system” that enables the trading of cryptocurrencies like bitcoin core, Ethereum, Bitcoin cash, dash, and Litecoin. The company was founded in 2015 by Virgile Rostand, and in 2018 the platform has acquired over 100,000 verified users. Coinsquare has been trading roughly USD 10Mn worth of BTC, LTC, BCH, and ETH on a daily basis.
Presently, the exchange is shooting for a $120Mn IPO to expand the company’s resources overseas. Coinsquare will sell its IPO shares on the Toronto Stock Exchange (TSX) to gain much widespread attention. This is in contrast to much diminutive cryptocurrency centered businesses in Canada using a reverse takeover (RTO) scheme to be listed on the stock exchanges’ smaller subsidiary TSX Ventures.
Coinsquare’s Chief Executive Officer Cole Diamond stated in a recent interview saying; “We’re racing, but racing to do it right,”
“We’re going to take the old-school path as an IPO to the Toronto Stock Exchange.”
The Canadian exchange plans to extend to other countries like the U.S. and UK by the second quarter of 2018. Additionally, the company announced plans to list ripple (XRP) this February, and each following month the platform will list one digital currency per month. Coinsquare thinks the expansion will help it compete with much larger exchanges in the world.
Diamond explains; “The United States and the U.K. market are next,” “We believe that we will be a strong competitor to Coinbase and other exchanges in the U.S. by the end of the year.”
Being a competitor against the San Francisco based exchange Coinbase will be a tall task for Coinsquare, but the company thinks the expansion and IPO will help. Just recently Coinbase raised $100Mn creating a $1.6B valuation for the firm and has also begun listing more coins.
Additionally, this past December the Coinbase president, Asiff Hirji, said in an interview that the company would likely go ‘public’ some day. “The most apparent path for Coinbase is to go public at some point, but there’s a lot for us to do between now and then, whenever that date is.”
Coinsquare’s IPO may just give it a competitive edge against brokerage giants like Coinbase by facilitating the company’s growth through public investment.