Online trading company eToro aims to offer its clients the ability to trade Coinbase shares once the stock is listed on Nasdaq.

Given that Coinbase plans to go public via a direct listing, there are no underwriters setting a target price or book building process which values the stock at a certain price. The company will simply list its share on the stock exchange. Because there are no underwriters, meaning no one is assuming the risk in connection to reselling the stock shares or performing stabilising transactions, there is the potential for high volatility of the stock price immediately after its listing.

$COIN (Coinbase Global Inc) will be selling 114 million shares directly to the public, according to its SEC filing. Aside from that, there is no fixed or determined amount of shares that will be for sale as other shareholders may or may not sell their shares. The company will not be paying dividends on its stock, nor does it plan to pay dividends to shareholders in the future.

Coinbase says that it intends “to retain all available funds and any future earnings for use in the operation of our business and do not anticipate paying any dividends on our capital stock in the foreseeable future.”

Investing in $COIN stock on eToro

• Go to the Coinbase stock page by either typing in Coinbase or its ticker symbol COIN in the search box at the top of the page.

• Click on the “Trade” button.

  Choose whether to BUY (go long) or SELL (go short) the stock. Clicking on “BUY” means you expect the value of the stock to increase. Clicking on “SELL” means you expect the stock’s value to decrease.

• Insert your preferred leverage, and Stop Loss and Take Profit points.

• Click on the “Open Trade” button.

In order for eToro to make trading of the stock available, there are a few things that need to be in place and they are as follows:

1. The stock should be listed on the exchange (Nasdaq) after the direct listing. Typically, trading on stocks after a listing does not begin at the opening bell, only later in the trading session.

2. Liquidity providers will need to have sufficient liquidity of the stock in order to allow eToro to open trading for its clients. It may take up to a few hours for trading access on the eToro platform after the listing of $COIN on April 14th.

Please also note that the initial trading price may differ from the listing price. Trading availability will initially be only for BUY direction with no leverage.

Traders can find more information on this matter here.