Coinbase Acquires Echo for $375 Million – Renewed Interest in ICOs?

Coinbase Acquires Echo for $375 Million — And It Could Spark the Return of ICOs

Coinbase has made headlines by acquiring Echo, a renowned on-chain capital-raising platform established by crypto expert Cobie, in a deal worth $375 million. This acquisition has the potential to transform how projects secure funding and may reignite interest in public token sales, reminiscent of the initial coin offering (ICO) surge in 2017. In a blog post, Coinbase characterized Echo as a top-tier platform that promotes community-based fundraising with greater accessibility and transparency.

The deal, orchestrated by Coinbase executives Shan Aggarwal and Aklil Ibssa, aims to make it easier for projects to obtain funding directly from their supporters, while also offering retail users early investment opportunities.

Echo Tool Features Source: Coinbase

Coinbase asserts that Echo's tools will facilitate the creation of “more accessible, efficient, and transparent capital markets” by connecting projects with their communities directly. This comes at a time when public token sales, which were once deemed outdated, are making a quiet resurgence through newer, regulated platforms that avoid the previous pitfalls.

Coinbase Strengthens Crypto Infrastructure with Echo Acquisition

In their announcement, Coinbase emphasized that the integration of Echo’s tools would enable companies to raise capital entirely on-chain, fostering a smooth ecosystem that links projects with potential investors. The company intends to broaden its support beyond crypto tokens to include tokenized securities and real-world assets, utilizing Echo’s robust infrastructure.

Since its inception in 2024, Echo has generated over $200 million through more than 300 deals. Its Sonar product has already powered several notable token sales, such as Plasma’s XPL token, capturing significant market attention.

"The first project to ever fundraise with Echo was Ethena. The unlock today means Echo makes revenue for the first time ever (we made $37k in total, I am rich now). Thanks to Ethena, to the group leads that shared the deal, and to the Echo users who bought it. Onwards!"
— Cobie (@cobie) March 6, 2025

Coinbase executives mentioned that this acquisition expands their footprint across all stages of crypto ventures, from token creation and cap table management, bolstered by their previous acquisition of Liquifi, to fundraising and secondary market trading.
“We’re building a full-stack solution for crypto projects and investors,” the blog post stated.

Cobie, the founder of Echo, acknowledged the acquisition on X, expressing that he never anticipated Echo would be sold to Coinbase, but they are indeed in this situation. He noted that Echo would “remain a standalone platform under its current brand for now,” while Sonar would be integrated into Coinbase’s ecosystem to forge new connections for founders and investors.

"When I started building Echo two years ago, I knew it had a 95% chance of failing. To be honest, I couldn't really imagine any other outcome, but I thought at least it may be a noble failure worth attempting. I certainly didn’t think Echo would be sold to Coinbase, but here we are,"
— Cobie (@cobie) October 21, 2025

When Echo launched in beta in April 2024, Cobie referred to it as a 95% risk but a “noble failure worth attempting.” Instead, the platform emerged as a notable entity in on-chain fundraising, driven by its mission to enable communities to invest in early-stage crypto projects collectively.

This acquisition represents yet another milestone in Coinbase’s recent expansion efforts this October, showcasing its ambition to establish a comprehensive crypto infrastructure. In just the last two weeks, the company has rolled out decentralized exchange (DEX) trading in its mobile app, reinstated staking services in New York, and filed for a U.S. National Trust Charter. Additionally, it has introduced new payment tools through its Coinbase Business suite and made a recent investment in India’s CoinDCX exchange to strengthen its global presence.

"🎙️ Coinbase purchased UpOnly NFT from well-known crypto trader Cobie for $25 million, resurrecting the podcast show 'UpOnly' after a three-year hiatus."
— Cryptonews.com (@cryptonews) October 21, 2025

The Future of ICOs: Transparent, Regulated, and On-Chain?

Coinbase’s acquisition signifies more than just corporate growth; it reflects an emerging trend of regulated, community-driven token sales that could shape the future of crypto fundraising. This shift comes as market analysts note a revived interest in public sales, once a hallmark of ICOs.

According to Tiger Research, platforms like Sonar, Buidlpad, Legion, and Kaito are at the forefront of a new generation of compliant launchpads, offering both accessibility and investor safety through KYC and transparency measures.

Market Research Source: Tiger Research

Historically, ICOs enabled numerous blockchain projects to acquire billions of dollars from investors by selling tokens prior to their project launches. Notable projects such as Ethereum, EOS, and Chainlink originated through ICOs. However, this boom was marred by controversies involving scams and inadequate oversight, leading to regulatory crackdowns.

The U.S. Securities and Exchange Commission (SEC) later categorized many ICOs as unregistered securities offerings, compelling several projects to return investor funds or incur fines.

What distinguishes this new wave of token sales is its focus on structure. Modern public offerings are self-hosted, transparent, and typically governed by compliance frameworks such as Europe’s MiCA law, which sets clear guidelines for token issuance. These regulations create a much safer environment than during the ICO frenzy, where investors frequently encountered unclear terms and potential loss of funds.

Echo’s Sonar product is well-suited to this transformation, enabling founders to conduct their own public token sales directly on blockchains like Base, Solana, Cardano, and Hyperliquid. For Coinbase, the integration of Sonar has the potential to evolve from merely a trading platform into a global fundraising hub, granting verified users access to early-stage investment opportunities that were once the exclusive domain of venture capitalists.

Key Takeaways

Coinbase has acquired Echo, a capital-raising platform, for $375 million, aiming to reshape fundraising in the crypto space.
The acquisition will enable community-driven token sales and enhance accessibility for retail investors.
Echo has facilitated over $200 million in fundraising efforts since its launch in 2024, setting the stage for possibly renewed ICO interest.
The move reflects a trend towards regulated, transparent token sales, with frameworks like Europe’s MiCA law supporting safer fundraising environments.
This acquisition is part of Coinbase’s extensive effort to strengthen its full-stack infrastructure in the crypto industry.