Pinterest worth $ 12.7 billion in new valuation – Will ICOs soon become IPO?
Another day, another IPO. The social discovery app Pinterest has gone public and priced its shares at $ 19 each. It sold over $ 1.6 billion in shares to several major investors, acquiring its market value to reach $ 12.7 billion.
Pinterest is a social media community that allows users to share and pimp photos found online to various boards on the web. The users, known as "pin" plan events, create albums, share the work, and explore their interests.
After its launch in 2010, Pinterest quickly became a hub for infographics, training and advice. Its fair algorithms allow everyone the opportunity to get their work done while ensuring that users only see content that is truly relevant. Over a decade, Pinterest has risen to become the fourth most popular social media site in the world, just behind Facebook, Twitter and LinkedIn, with a predominantly female user base.
At this valuation, Pinterest is on a close scale to Ethereum (ETH), which currently has a market value of over $ 1[ads1]8 billion. If this is broken down to a per-user valuation, each of Pinterest's 250 million users contribute $ 72 worth of value to the company, while Ethereum's 1.2 million users each contribute $ 15,000 to the valuation of Ethereum.
<img class = "aligncenter wp-image-10314 size-large" src = "https://3xz7gj47vd1t2zgr1q19hmwl-wpengine.netdna-ssl.com/wp-content/uploads/2019/04/shutterstock_pinterest-1024×683.jpg "alt =" Pinterest [19659006] How to Compare Crypto ICOs
Since mid-2014, Initial Coin Offerings (ICOs) has become a popular collection mechanism for blockchain projects that seem to measure public interest and accelerate the development of their products. The first of these ICOs occurred in 2013 when Mastercoin (now OMNI) successfully raised $ 500,000.
Now, modern ICOs are regularly raising upwards of $ 10 million, while several projects, including Tezos (XTZ), Huobi (HT) and Dragon Coin DRG has increased by over $ 200 million, EOS increased more than $ 4 billion in a year-long ICO in the largest offer to date
With many blockchain projects now approaching a respectable size, you think someone is ready to try an IPO? Click for Tweet
Move over ICOer
The average size of the ICO-financing is reduced significantly since 2017, with projects looking to raise $ 7 million on average. On the other hand, most IPOs tend to put corporate valuation well over $ 100 million, with Pinterest's IPO on the larger side.
Unlike IPOs, ICOs do not usually launch a working product in their hands, and instead use funds collected to develop the project's vision outlined in the White Paper.
Because of these, ICOs can usually be considered risky investments in new and evolving companies. IPO offers investors shares in an already well-established company and gives it a cash injection that can be used for further development and development.
Now, it seems that several blockchain projects are planning to go on the IPO route, with Bitcoin mining Bitmain and Bitfury both scheduled to be public in 2019.
Beyond that, many ICO-based projects are picking Achieving significant support and momentum, it seems to be just a matter of time before any of these projects are mature enough to consider a stock exchange listing.
Do you think some blockchain-based companies can benefit from a stock exchange listing? If so, which one? Please let us know your thoughts in the comments below!
Pictures with the Law of Shutterstock.
