JPMorgan has raised its rating on COIN to Overweight, with a significant target price increase to $404.

On October 24, according to CNBC, JPMorgan's attitude towards CEX is shifting from a wait-and-see approach to active involvement. The bank raised the stock rating of this Crypto Assets trading platform from neutral to overweight and significantly increased its target stock price from $342 to $404. Despite the CEX stock price having risen 30% this year, JPMorgan believes its valuation remains attractive compared to competitors. According to the revised forecast model, the bank expects an additional 25% rise in the stock price. Analyst Kenneth Worthington pointed out that CEX is exploring the feasibility of launching the Base Token, which will become an important catalyst. He believes this move will accelerate the ecological development of the Base Blockchain (launched in August 2023). In the report, he wrote: “The Token's market capitalization could eventually swell to between $12 billion and $34 billion, and we believe that the token issuance will achieve a win-win for shareholders and Crypto Assets participants—driving ecological development, enhancing community engagement, and promoting infrastructure construction.” Another significant growth driver comes from CEX deepening its research on the payment application of USDC stablecoin to promote its monthly subscription service, CEX One. Worthington analyzed: “We observe that CEX is advancing revenue experiments through USDC, thereby driving the growth of CEX One and enhancing the monetization capability of USDC within the platform. This move is expected to attract more customers to use CEX One services, which offer subscription-based trading rate and enhanced revenue with USDC benefits.” Meanwhile, Worthington believes that the erosion of CEX's Spot trading share by decentralized trading platforms has basically stabilized. He added that CEX launching decentralized trading services through the Base chain also helps mitigate this competitive threat. JPMorgan stated that by applying a 50x price-to-earnings ratio valuation to its competitors Circle and Bullish, and adding the value of the Base Token, it deduced that the target price corresponding to CEX's 2027 profit expectations is $404.