1) Restate question / goal:

• I am the PM of Coinbase consumer app
• Goal is to add new tokens to platform in a streamline process

2) State why this is important for Coinbase:

• mission = create open financial system
• to realize that mission, Coinbase needs to partner w/ builders of cryptoeconomy (e.g. token issuers)

3) Create evaluation framework:

For each of below, work with subject matter expert to define specific questions in review:

• legal review
• compliance review
• technical security review
• regulatory review

4) Apply framework to tokens

5) Flows to design (high level):

• [user] – [flow]
• asset issuer – sign up flow
• asset issuer – add asset flow
• asset issuer – needs review flow
• coinbase admin – asset approval flow
• asset issues – asset live flow

Before jumping in to answer, I want us to be on the same page regarding a few things:

1. I am the PM for Coinbase app; not for coinbase pro or wallet etc.
2. The very fact that a token will list on Coinbase increases the price / market activity around the token. We want to create a process which takes this into consideration.
3. Users trust coinbase. Therefore, the assets listed on coinbase need significant vetting before they can be put on the system.
4. Technology integrations – How much work is needed to add the new integrations

Thinking through the lifecycle of adding new tokens

I would like to divide the process into 3 stages:

1. PRE – Steps needed to be taken before adding a new token
2. DURING – Technology decisions, marketing decisions while the token is added
3. POST – What are the success metrics?

PRE Before a token can be added, we need to think through the following:

1. What is the mechanism through which crypto token companies / DAO apply to get listed on Coinbase?
2. Some tokens will be considered worthy of addition. Others will get rejected. As outlined before, token prices can change significantly if they are accepted or rejected. Therefore, Tokens under consideration should be kept top secret.
3. Vetting – What is our vetting process? Who does it?

DURING

1. Confidentiality is important – don’t want the news out unofficially.
2. Technological Challenges – New blockchains may take longer to integrate than new tokens on existing chains. Get an estimate of the effort.
3. Regulations – Ex. Certain coins may not be added for New York users. Is there anything within the regulation that could stop us?

POST

1. What is the trading activity? How does it compare to similar tokens at a similar point in time.
2. Any technical glitches? For ex. are trades taking longer to execute / settle?
3. Any increase in number of customer service complaints?

SOLUTION – The process of adding a new coin

1. Coinbase needs to setup an example for regulators and show that it takes insider trading very seriously. Therefore, a strict NDA with companies that apply for listing and strict NDAs with employees who work in this area are essential.
2. Identify major Blockers like Regulatory analysis / KYC / AML – are the companies that are applying for listing based in iran, North Korea etc.? If so, deny.
3. Analysis of technological complexity – How much time and effort will be needed? Are we forecasting more tokens built on the chain? If so, it may make more sense to put in effort on the base token.
4. Business analysis of the company applying for token listing – Is it a legit company?

Prioritization criteria – If we have many tokens that have applied for listing, we need to have a criteria on which one to prioritize. Some metrics we could use are : a. Could this spur development on the chain. How does this listing help in creating an open financial ecosystem? b. First token on the chain or nth token on an existing chain c. History of founders, business case for the token etc. d. Expected revenue in commissions

FLOWS & USERS

1. Companies that apply to be listed – Create application forms which ask to provide technical information, business use case
2. Flow to identify any regulatory concerns
3. Flows for vetting team – Make it mechanical for the vetting team to tick boxes
4. Flows for engineers / architects to assess the technical complexity
5. Dashboard for PM to have a grading on several dimensions like regulatory concerns, business use case, technical complexity etc. Create a score for the PM to make decision making easy.

Prioritization

1. Regulatory concerns – this needs to be top notch as industry is plagued with scammers and coinbase needs to be a trusted party
2. Company application form – Structured collection of information can make rest of steps easier
3. Flows for vetting team
4. Flows for engineers
5. PM Dashboard

Recommendation: A solid process for vetting new coins and adding them to coinbase involves multiple parties. We need to prioritize the flows mentioned above to help coinbase in creating a new & open financial system.