Bitcoin Forum

Selling a small amount of non-voting common stock in Coinbase Inc. aka coinbase.com.

PM me for more details.

PM sent requesting more details. Thanks.

PM sent

Pm sent

How about ya just put the details here

This has theymos/GLBSE written all over it.

pm sent

Just to be clear I am not affiliated with Coinbase Inc and have no insider knowledge nor am I aware of any negative news regarding the company.

Thanks. I see value in coinbase. I like its existing angel investor list too.

However, one thing should be clarified:

Coinbase has raised money from ycombinator, fundersclub and private investors.
While the ycombinator deal would have meant issuance of 10 million shares, I believe the fundersclub deal and the private investors deal would be done using convertible notes.
So the number of total shares will be a lot more than 10 million when these notes convert. 200,000 shares won't represent 2% of the company.

(My estimate is it will represent 0.25% to 0.5% of the company. But thats just an educated guess. And I could be off by as much as a decimal point.)

I had sent an email to Brian yesterday asking for more details on convertible note valuation caps but have yet to hear back from him. I will make my offer once I hear from him. (If you think you can connect both of us for maybe a faster response, please do.) Thank you.

Yes you are correct, almost certainly some notes have been issued. Brian may be willing to clarify this.

I don't really understand you Americans and your convertible notes. But what % of equity the notes will convert at depends on the valuation determined in the companies second round of funding. If a company has issued $600k convertible equity and the second seed round is valued at $6m those notes can be converted to 10% equity. I don't they they would dilute the 200k holding to as low as 0.25% but there will be some dilution.

http://dl.dropbox.com/u/58484379/Division%20of%20Corporations%20-%20General%20Information%20-%20Entity%20Details.pdf

I don't understand, if you are not affiliated with Coinbase, then how do you have 200,000 shares? Also, I didn't think you could sell shares to non-accredited investors. I realize that with bitcoin stock exchanges all the rules went out the door, but with a conventional American company, I don't think it's possible/legal to just sell shares to anyone before the company goes public.

Sure you can.

what is the reason why you are selling?

Can somebody please post the registered company name coinbase is trading under any any accounts previously filed with the IRS?

I'm from the UK it's pretty easy to get that info on UK companies, I don't understand how the American systems work.


Without the accounts with profit / loss, Turnover, Order book, and existing shares issued it is impossible to value the company, If you can't value the company you can't value the shares. Due dilligence and all that, I can't work on a share price based on the OP's vague posts regarding 10m shares, no disrespect intended I just need more information.

The shares were retained from a partner disagreement at the start of YCombinator.


Personal Reasons, no reflection on the company itself.

The company is coinbase, inc (a Delaware Corporation).  However the company is privately held.  None of that information is public record.  I am pretty sure there are private companies in the UK as well.  Unless a company is publicly traded it is not required to disclose financial reports (and almost never do) outside of confidential owner reports/memorandums.

Simple version: you won't find the info you are looking for in any public record.  In 3-5 years if coinbase goes public it will then have an IPO, register with the SEC as a registered security, and be required to file quarterly, and annual reports.

There is no restrictive legend on the shares (unusual for unregistered securities)?  Do you have a copy of the company bylaws?  Is there any restriction on selling to outsider?  Do existing owners have first right of refusal?  Can existing owners block the sale?  Have you discussed the intent to sell with existing owners?

I am potentially interested however would like to avoid as many roadblocks as possible.  If you don't know the answers to the above it is almost certain you are going to need to find out to entertain any kind of serious bid. 

as per PM $20k offer

piuk, a very good source of mine says these shares are subject to a coinbase ROFR?  is this true?

+1. due diligence is the way to go.

Actually, in the UK, private companies have to file the information and the public can check on-line quite easily.

Interesting.  All this is off-topic since the thead is semi-dead care to share an example.

Companies House is the registration point for all companies in the UK: http://www.companieshouse.gov.uk/

The register is publicly searchable here: http://wck2.companieshouse.gov.uk//wcframe?name=accessCompanyInfo or you can use third party sites like Duedil: https://www.duedil.com/ which tend to collate information from multiple sources and so may provide you with a more detailed picture.

So is the conclusion here that Coinbase shares are basically worthless at this point or what?

As the poster below me said, Duedil is the easiest and fastest place to get info on ANY UK private limited company. The other ways are slightly more complicated but doable if you really want. Check out duedil though, really cool, can help to figure out if a market is worth entering based on how competition is doing really easily.

If a company is registered in Delaware, it can be sued in Delaware, which is a tough and easy place to be sued.  Coinbase has chosen to implement a site that places your balance at the top of every page, but to get the exchange rate you have to dig deep in to the buy/sell page; Coinbase does not support paid BTC transactions, they depend only on the block chain, so transfers of thousands of dollars have to wait in uncertainty on the blockchain, if it doesn't go through in 24 hours, you can then cancel and start over for the game again, and cancel and start again.  They transfer immediately to some addresses and never to others, so expect to have to transfer to a middle account to get your money out of the site. 

US BTC users have been told that this is the compliant U.S. site, but the functionality is extremely bald in the places where it actually matters.

If I can't get my coin out of there, I will have to do something.

Sue in Delaware, but payback is a bitch that can reach out and touch someone in San Francisco during lunch.

These people need to realize that some fucking clerk can't sit on funds without some fucking pay back. 

Fucking bitches.  Shit happens in the USA all the time, 10,000 gun murders a year. Fucking clerks.... :'(

Omg noob,you can't read the dates from this thread?
For sure i credit and award you the 1st prize for the best necropost/bring from the Dead Threads cemetery ever.

Congrats! ::) :D

For the record, I'll buy 0.5% of coinbase for $20,000.   ::)

Hit me up Brian!

$20,000.01!