Coinbase Faces Pressure Over High Trading Fees

Coinbase has introduced fee reductions for active traders on its Coinbase Advanced platform. The changes reduce spot rates, consolidate spot and derivatives into single volume tiers, and lower the entry threshold for the first Advanced tier to $10,000 in qualifying volume from $25,000.

According to Mizuho, the stock's current price of $164.51 is slightly above both Mizuho's target of $155 and InvestingPro's Fair Value assessment, suggesting that shares are fairly valued at current levels.

Mizuho views Coinbase's retail take rates of approximately 150 basis points as significantly higher than key competitors such as Robinhood, which charges around 40-50 basis points. The firm considers these rates too high and likely unsustainable.