A report from Recode says crypto-exchange Coinbase is closing in on a $500 million funding round that would value the company at $8 billion when it closes. The round is to be led by Tiger Global and would include new funds for the company, while also allowing existing shareholders a shot at pre-IPO liquidity. Coinbase, which says it is profitable, was valued at a fraction of the current price last summer -- just $1.5B. Of course, that came before the massive crypto-craze run up in prices and the subsequent bear market that has run though most of 2018.
Coinbase makes the bulk of its money when people are buying and selling cryptocurrencies frequently and in large amounts. While the decline in token values has apparently hurt the company, it does make a margin on most trades. Fees on trades are typically around 1.5% of the value. (Source: Recode)