Coinbase Crypto Billionaire Brian Armstrong Documentary
Coinbase Crypto Billionaire Brian Armstrong Documentary
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00:00 Crypto has taken the world by storm.
00:03 From Barter System to Crypto, we've come a long way.
00:07 And to make that journey easy, there were many exceptional brains involved.
00:11 And today we'll discuss one of those.
00:14 Welcome to the Rich Rabbit.
00:15 And today we'll be talking about Brian Armstrong.
00:19 Armstrong is one of the faces, if not the face of cryptocurrency in the US.
00:24 He co-founded Coinbase in 2012 with the hope of cryptocurrency becoming a major trade option
00:30 for investors.
00:31 It wasn't long before crypto trading took off, allowing Coinbase to grow into the company
00:37 it is known today.
00:38 A platform that has seen $320 billion worth of crypto assets traded from 56 million users
00:45 around the world.
00:48 Coinbase's success story has also turned Armstrong into one of the wealthiest persons in the
00:52 fintech industry, with a net worth of $12.6 billion.
00:59 Childhood
01:00 Brian Armstrong was born in San Jose in the state of California, US on January 25, 1983.
01:08 Born to engineer parents, he spent most of his childhood in California before moving
01:13 to Texas to attend college.
01:16 Armstrong took up an economics and computer science degree at Rice University in Houston,
01:21 Texas, where he earned his bachelor's in 2005.
01:25 He immediately pursued a master's degree in computer science from Rice and finished
01:30 the program in 2006.
01:32 During his studies, he started an educational technology company that matches tutors to
01:37 students.
01:38 He then moved to Argentina after graduation, wherein he didn't only expand his edtech firm
01:44 but also found an interest in trading, specifically how hyperinflation was affecting the Argentinian
01:50 economy.
01:52 It is moments like these where brilliant minds find opportunities.
01:57 Early journey
01:58 Armstrong returned to the US working for tech giant IBM, global auditing firm Deloitte,
02:05 and online lodging marketplace Airbnb.
02:08 He was also a developer for IBM and a consultant for Deloitte.
02:14 During his time at Deloitte, he came across cryptocurrency, particularly Bitcoin, in a
02:19 white paper published by Satoshi Nakamoto.
02:23 While working as a software engineer at Airbnb, Armstrong learned that it was difficult to
02:28 send money to clients in South America.
02:31 This inspired him to develop a platform where crypto coins aren't just used as a mode of
02:36 payment but also as a tradable asset.
02:40 Armstrong was now convinced of the potential that cryptocurrency exchange can bring to
02:44 the economic market.
02:46 He left his job at Airbnb and began developing code, using Ruby and JavaScript, in what would
02:52 become the earliest version of Coinbase.
02:56 Together with Fred Ursham, they then pitched the idea to startup investment firm Y Combinator,
03:02 wherein they managed to secure an impressive $150,000 investment.
03:07 With $150,000 secured, Armstrong and Ursham used the investment to officially launch Coinbase.
03:15 With cryptocurrency starting to attract more investors, Armstrong's company couldn't come
03:20 at a better time.
03:22 Coinbase acts as a tool where crypto investors can manage all of their digital assets in
03:27 a single platform, specifically enabling users to buy and sell multiple cryptocurrencies.
03:34 The most popular cryptocurrencies, such as Bitcoin, Ethereum, Litecoin, and Bitcoin Cash,
03:40 can all be managed in the Coinbase app.
03:43 Additionally, Coinbase also lets users track their investments and helps them schedule
03:48 recurring buys, whether it be daily, weekly, or monthly.
03:53 Coinbase is available for Android and iOS, as well as in a web browser format.
03:58 Despite the influx of investors using Coinbase, many are still concerned about its security,
04:04 specifically how it protects investors from losing all of their hard-earned digital assets.
04:10 The company has already made extra steps to boost its security capabilities, specifically
04:16 relying on a complex data storage system, where users can place their assets in multiple
04:21 wallets, also called vaults, with added security options.
04:27 Users can also opt to split ownership between multiple users in each Coinbase wallet, with
04:32 every transaction requiring approval from each user.
04:38 Coinbase has an insurance policy where it covers 2% of funds being kept in hard wallets,
04:43 or assets, that are online and open to potential hacks.
04:48 Coinbase is not just the oldest crypto management company in the US, but also the largest.
04:55 The company has over 56 million users buying and trading from 100 countries all over the
05:01 world, resulting in $335 billion worth of assets being traded in the Coinbase app each
05:07 quarter.
05:08 The company also became the first crypto company to be listed in the US Stock Exchange, scoring
05:14 a massive debut after shares rose 32% during its first day of trading.
05:21 Coinbase IPO opened at $381, peaked at $429, and ended at $329 per share, a massive jump
05:28 from the company's initial $250 reference price.
05:33 The debut increased Coinbase's valuation at $86 billion, more than 10 times its last valuation.
05:41 With the new valuation, the Coinbase CEO now has a net worth of $12.6 billion, nearly double
05:48 the $6.5 billion Forbes estimated before the company filed to go public.
05:55 The listing feels like a shift in legitimacy not just for Coinbase but the whole industry.
06:00 Said Armstrong in an interview on the Clubhouse app.
06:05 Coinbase revenue amounted to $1.14 billion in 2020, the highest the company generated
06:11 since its inception.
06:13 Although Armstrong was already a billionaire after Coinbase attained an $8 billion valuation
06:18 in 2018, he says he is continually reminded of how his company managed to overcome early
06:24 struggles, launching Coinbase from a two-bedroom apartment that was shared with another company.
06:30 Armstrong's entrepreneurial success has earned him a spot in the 2017 Forbes 40 Under 40
06:36 and is currently listed number one in the Forbes Crypto Rich list.
06:42 He appeared in the 2014 American documentary, The Rise and Rise of Bitcoin, where he discussed
06:48 his journey along with a few tips for newcomers.
06:52 He was also featured in the 2020 non-fiction book, Kings of Crypto, one startup's quest
06:58 to take cryptocurrency out of Silicon Valley and onto Wall Street.
07:04 Armstrong self-funded and founded the scientific research site Research Hub as a way of making
07:09 research papers available to the public.
07:13 PERSONAL LIFE
07:16 Now diving into his personal life, Armstrong is known to be a quiet person, avoiding interviews
07:22 and only appearing in certain conferences and events.
07:26 He's also a notable philanthropist setting up GiveCrypto.org, which allows people to
07:31 make public or anonymous donations to families living in poverty.
07:36 He's also the first crypto executive to sign the Giving Pledge, a campaign that encourages
07:42 wealthy people to donate the majority of their wealth for philanthropic causes.
07:47 With cryptocurrency on the rise, Armstrong and Coinbase are on the rise as well.
07:52 And as more investors are looking at digital currency to expand their portfolio, expect
07:57 Armstrong to lead the charge in making sure these investors choose Coinbase at the end
08:02 of the day.
08:03 With that, it's time for us to call it a day, but we do hope that you liked the video
08:07 and found it informative.
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08:18 And I'll see you in the next video.
08:20 [MUSIC PLAYING]