What is Facebook Inc.?
Facebook Inc. (NASDAQ: FB) is an American social media and technology company. It was founded in 2004 by Mark Zuckerberg, Eduardo Saverin, Dustin Muskovitz and Chris Hughes while they were attending Harvard University. Facebook reached one million users in its first year and has grown exponentially to over 2.5 billion monthly users today. Facebook has become the fifth most valuable publicly traded company based on market capitalisation in the world as rated by Forbes. This incredible growth was achieved through market penetration as well as through a series of strategic acquisitions such as Instagram, WhatsApp, Oculus as well as numerous other technology-based start-ups.
Facebook continues to find innovative ways to remain relevant and work towards its stated objective of developing products that enable people to connect and exchange ideas with friends and family through mobile devices, personal computers, virtual reality and in-home devices. It has faced some negative backlash over advertising policies and tax aversion strategies in recent years, but Facebook remains the most widely used social media platform by a large margin.
Past performance of Facebook stock price
Facebook stock trading began on 18 May 2012. The Initial Public Offering (IPO) was one of the most anticipated in recent history with Facebook stock trading at an initial price of $38 USD per share. 421,233,615 shares were offered for the IPO and over $16 billion was raised, making it the largest valuation placed on a company’s IPO to date. Mark Zuckerberg retained a 22 per cent stake in the company as well as a majority of voting rights.
On the first day of trading Facebook stock price rose quickly only to close just above its opening price at $38.13. In the following weeks the price would decrease to $27.72 indicating that investors felt there was more work required to reach its earning potential. Even those who were late to invest in Facebook stock have still had the opportunity to make considerable gains as the price today is hovering around $154. Facebook share price, like almost all companies, decreased drastically on 16 March when the market crashed. Sliding to $146.01 from $170.28 the previous day and an all time high of $223.23 on 29 January 2020.
There is significant upside potential for those who invest in Facebook stock, either in a traditional way or with crypto. Facebook posted huge revenues in 2019 of $70.7 billion with earnings before tax, interest, depreciation and amortisation (EBITDA) of $29.73 billion. Diluted earnings per share rose 8 per cent in the last quarter of 2019 year over year and advertising revenues are at an all time high.
How to invest in Facebook stock
Traders using the Currency.com tokenised trading platform are able to profit from price movements in the Facebook NASDAQ market price without purchasing shares through the NASDAQ exchange. Tokenised assets are crypto derivatives whose value is linked to the value of a particular asset, in this case share price. The token is registered using distributed ledger technology (DLT) the same way cryptocurrency is recorded. This technology allows for trading using crypto without the need to convert back and forth with fiat currency. Utilising this technology makes tokenised security trading efficient, inexpensive and secure.
When trading tokenised Facebook stock you can take a long or short position depending on where you feel the price is heading. If you think the price will decrease you can short the tokenised Facebook stock and if you think it will increase you can take a long position. Trading in tokenised assets on Currency.com also allows for traders to benefit from the leverage offered on the platform, up to 1:100.
Tokenised Facebook stock trading guide
Trading tokenised Facebook stock is no more difficult than trading regular shares. To begin trading tokenised Facebook assets, you will follow some simple steps:
- Step 1: Register for an account with Currency.com.
- Step 2: Deposit funds (with crypto or fiat) in the account.
- Step 3: Determine the position size desired, accounting for leverage offered by Currency.com
- Step 4: Determine your trading position (long or short) based on expected share price movement and purchase tokenised Facebook shares derivatives.
- Step 5: Currency.com matches the long orders from its clients with the sell orders and then hedges the unmatched orders through Capital.com, LMAX Digital or exchanges such as Binance, Bitstamp, Kraken, NASDAQ, NYSE and Gain Capital.
- Step 6: Close your position when applicable. You can set a take profit or stop loss indicator to ensure you are not required to constantly monitor the price. Funds will deposit back to your account after closing and you can withdraw or take a new position.
Why trade tokenised Facebook shares with Currency.com?
Facebook stock trading at Currency.com tokenised assets exchange has a number of advantages. Tokenised assets are underpinned by robust and immutable blockchain technology. Opening a trade will give you a token that tracks and moves according to the underlying instrument's price.
- One-stop crypto trading platform
Trade tokenised Facebook shares with Bitcoin or Ethereum. Benefit from the stock's price movements without turning your crypto assets into fiat.
Trade tokenised Facebook shares with a tight market spread, benefit from maker rebates and competitive taker fees.
Experienced traders can trade the world's top markets, like Facebook, with up to 1:100 leverage.
- Effective risk management
Manage your risks and secure your profits with stop loss and take profit orders. Save your assets with negative balance protection.
Currency.com has a scalable and low latency order management system, which can execute 50 million trades per second.
Currency.com operates under new Belarusian regulation with best-in-class AML and KYC laws. Regulatory details and fees are upfront.