Coinbase settles at $350 following explosive open

Shares of digital currency exchange Coinbase (COIN) opened at $381 Wednesday — significantly higher than its pre-listing reference price of $250.

The $381 value put Coinbase’s market capitalization at $99.6 billion on a fully diluted basis.

The stock peaked at $429.54 for a gain of 71.8% from the original reference price.

It was last seen trading around $350, having gained 43%.

Meanwhile, the technology-focused Nasdaq Composite Index, which listed COIN, was down 0.6% on Wednesday.

As Nasdaq reported Tuesday, Coinbase’s reference price does not reflect its offering price, which means nobody purchased or sold shares at the $250 price point quoted previously.

Volatility was expected for Coinbase on its first day of trading, as price discovery and pent-up demand led investors to bid up the price significantly shortly after it went public.

Investors got a taste of the volatility in the derivatives market, where the “pre-IPO” price of COIN shot up to a high of $640 before crashing to $420 on FTX, a leading crypto derivatives platform.

Coinbase’s public listing is considered a “watershed” moment for the cryptocurrency market.