One of the largest cryptocurrency exchanges in the world, Coinbase, has announced the launch of a large-scale capital-raising program — the company plans to issue convertible bonds totaling $2 billion. The issuance is structured in two tranches with maturities in 2029 and 2032, each amounting to $1 billion. Additionally, investors will have the option to purchase an additional $300 million in bonds in each tranche.
This is reported by Finway
Issuance Terms and Financial Goals
Coinbase plans to offer these bonds to institutional investors under Rule 144A, which allows for sales without mandatory registration with the SEC. The issued securities will be senior unsecured bonds with the option to convert into Class A shares, cash, or a combination thereof at the company’s discretion. Interest payments are scheduled to occur twice a year. To mitigate the potential impact of stock dilution during conversion, Coinbase intends to enter into call option agreements, which will help reduce additional costs beyond the principal debt.
The funds raised will be directed towards corporate purposes, including replenishing working capital, financing capital expenditures, repurchasing or redeeming existing debt obligations, and paying for call options.
Financial Background: Stock Decline and Analyst Ratings
The announcement of the bond issuance came amid the release of Coinbase’s financial report for the second quarter of 2025, which highlighted a decrease in revenue and an increase in expenses. Following the report’s publication, the company’s shares under the ticker COIN lost 15% of their value, according to TradingView data.
“The company plans to use the proceeds for corporate purposes and to strengthen its balance sheet.”
At the time of writing, Coinbase’s securities are trading at $308.6 per unit, reflecting a daily drop of 3.2%. The total market capitalization of the exchange is estimated at $79.2 billion.
Despite short-term challenges, Benchmark analysts have maintained a “buy” recommendation for Coinbase shares, noting the presence of long-term growth drivers. The exchange is also continuing to increase its Bitcoin reserves, which reached 11,776 BTC in the second quarter of 2025.
Previously, Coinbase announced the launch of perpetual futures for traders in the U.S.