Coinbase shares fell in extended trading after the company reported a second-quarter loss of $1.36 per share and lower revenue of $1.2 billion, down 20% from the same period last year. Despite the weak financial results, Coinbase expanded its presence in the global crypto market, with its share of worldwide crypto trading volume rising to a record 10.3%.
Operating Improvements
Coinbase completed its 14th consecutive quarter of positive adjusted EBITDA and reduced its forecast for full-year adjusted expenses. The company also saw growth in derivatives activity, with revenue and contracts tied to event markets increasing 106% quarter over quarter.
Diversification Efforts
Coinbase continued to reduce its reliance on Bitcoin spot trading fees, with revenue excluding Bitcoin spot activity accounting for 88% of net revenue. Subscription and services revenue reached $555 million, generating 48% of net revenue.
Stablecoin Growth
Average USDC balances held across Coinbase products reached a record $20 billion, representing more than 30% of the stablecoin’s circulating supply at quarter-end. Stablecoin volume on Base, the exchange’s Layer 2 network, increased sevenfold from a year earlier.
