00:00but this success came at a cost complying with the regulations had eaten up all of their profits
00:05and they were running out of cash so brian had to make a decision should he continue investing
00:10in growth or should he focus on compliance he decided to do both he realized that they needed
00:16to keep growing if they wanted to survive but they also needed to invest in compliance if they wanted
00:21to thrive so he hired a former government official named chris brune to lead their compliance efforts
00:28and then announced a new partnership with a payment processor this was a huge deal because
00:33it meant that their customers could use traditional banking systems to buy and sell bitcoin this made the
00:39entire process much easier and more accessible for beginners over the next few years coinbase grew
00:45rapidly they expanded to dozens of new countries added hundreds of new employees and launched dozens
00:51of new products but they were not the only ones other companies were also growing quickly and they
00:57were all competing for the same customers this meant that the competition was fierce and margins were
01:02razor thin everyone was trying to outdo each other by offering the lowest fees or the best customer
01:08service or the coolest new feature in 2018 the cryptocurrency market crashed and people started
01:14losing faith in centralized exchanges this led to the rise of decentralized exchanges which allowed people
01:21to trade cryptocurrencies without having to use a middleman despite all these challenges
01:26coinbase managed to stay afloat in fact they thrived in 2021 they hit a major milestone reaching 70
01:34million accounts worldwide but they knew that they could not rest on their laurels they needed to keep
01:40innovating if they wanted to stay ahead of the competition and that brings us to today
01:44point in
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