Coinbase Misses Estimates Amid Record Crypto Trading Share

Coinbase reported mixed second-quarter results, missing Wall Street estimates on profitability due to weaker trading activity and low market volatility.

The exchange generated $1.2 billion in net revenue, in line with expectations but down 19% from the previous year's same quarter. Transaction revenue fell short of consensus at $599 million, while subscription and services revenue came in at $555 million, below analyst estimates.

Coinbase attributed the decline to a 25% quarter-over-quarter drop in total crypto spot trading volume and lower market volatility. Despite this, the exchange captured a record 10.3% share of global crypto trading volume, up from 9.1% in Q1.