Clear Street Bullish on Tokenized Stocks Following CLARITY Act Setback

Clear Street raised its price target for Coinbase to $224 from $204 and maintained a 'Buy' rating, citing the potential for increased adoption of tokenized stocks following the setback in the CLARITY Act.

The analyst, Owen Lau, said that Coinbase's development into stock derivatives and an initial public offering (IPO) will lead to new product launches and challenge the current market structure.

Coinbase filed with the Commodity Futures Trading Commission to list cash-settled, perpetual-style futures on individual U.S. stocks, covering 50-60 names including Apple, Microsoft, Nvidia, and Tesla.

Clear Street also raised its price target for Bullish to $43 from $37, maintaining a 'Buy' rating, despite the failure of the CLARITY Act.