Cantor Sees Coinbase as Undervalued Cornerstone of Crypto Infrastructure

Coinbase (COIN) earned a strong vote of confidence from Cantor Fitzgerald on Tuesday, with the firm initiating coverage of the crypto exchange with an overweight rating and a $245 price target, citing major untapped value in its infrastructure business. The stock rose more than 5% in early trading on the news.

“Coinbase is evolving into something far more critical than a trading platform,” wrote Cantor analysts Brett Knoblauch and Thomas Shinske. “Its Layer 2 network, Base, and its partnership with Circle on stablecoins, are being overlooked by the market—and they’re game-changers.”

According to the report, Coinbase’s Base network is generating powerful network effects, with surging user engagement feeding directly into higher fee revenue for the company. This momentum, Cantor says, positions Base as a key differentiator in an increasingly competitive crypto landscape.

The stablecoin sector, particularly USDC, is another area where Cantor sees underappreciated upside. As stablecoins move further into global finance—especially in the realm of cross-border payments—Coinbase stands to benefit as a major infrastructure provider.

The analysts also pointed out that Coinbase is trading at a 32% discount to its historical valuation metrics, suggesting that current market pricing doesn’t reflect the company’s long-term potential.

Ultimately, Cantor believes that as the market begins to better understand and price in the earnings power of Coinbase’s non-trading businesses, the stock will rerate meaningfully higher.

“Coinbase is rapidly becoming an essential component of the digital financial system—not just a beneficiary of crypto cycles, but an enabler of the ecosystem itself,” the note concluded.