Brian Armstrong, the CEO of Coinbase, has predicted that cryptocurrency-related services would someday become commodities. He discussed the ambitions his organisation has to rely on subscription-based business models for revenue. In fact, Armstrong also suggested that the subscription model may contribute significantly to the company’s revenue. The strategy, however, has a long-term outlook and a 20-year vision.
“Everything we are building others will eventually build it and it will become more commoditized. We are realizing that trading fees is not going to be that thing. It’s still going to be a major part of our business. Ten years from now, even 20 years from now, I would like to get to a place where it’s more subscription and services.”
In a move that could greatly improve its prospects, Coinbase just partnered with Blackrock, the largest asset manager in the world. The Blackrock collaboration aims to open up a new entry point for institutional investors into the cryptocurrency ecosystem.