Coinbase, the trading platform, has announced an increase in its bond buyback limit by $30 million. This move comes in response to the growing demand for bonds in the market, reflecting Coinbase’s commitment to meeting investor needs.
This action is part of Coinbase’s strategy to enhance bond trading and provide additional investment opportunities for its users. The increase in the buyback limit is expected to boost trading activity in the market and generate increased interest in bonds as an investment tool.
Last month, Coinbase issued a tender offer to repurchase a portion of its outstanding bonds with a 3.625% coupon due in 2031. However, the offer failed to attract bondholders’ interest, indicating bullish sentiment towards the securities among them. At that time, investors offered bonds worth approximately $50 million. Since then, an additional $211 million worth of bonds have been offered.
The latest batch of outstanding securities repurchases comes less than a month after Coinbase’s initial tender offer to repurchase a billion dollars’ worth of bonds. The cryptocurrency giant offered its investors a premium on its outstanding securities following a somewhat strong performance in the second quarter of 2023. At that time, the exchange stated that investors who sold their bonds before August 18 would receive $0.645 on the dollar.
