Following the takeover of Signature Bank (NASDAQ:SBNY) by regulators, Coinbase (NASDAQ:COIN) announced that it had approximately $240 million in deposits with the bank. Fortunately, this is only a small fraction of Coinbase’s total cash balance of $5.29 billion. Nevertheless, the company still expects to recover these funds.
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Coinbase also announced last week that it had no cash deposits at Silvergate (NYSE:SI), which chose to voluntarily liquidate itself after getting caught in the crypto industry’s liquidity crunch.
Overall, Wall Street analysts have a Hold consensus rating on COIN stock based on eight Buys, seven Holds, and six Sells assigned in the past three months. In addition, they also see slight downside potential, suggesting that they think the stock is fully valued.