Coinbase Posts First Quarterly Loss in Eight Quarters

Coinbase reported its first quarterly loss since Q3 2023, posting $667 million in net losses for the fourth quarter of 2025. The exchange's earnings per share came in at 66 cents, missing analyst estimates by 26 cents.

Revenue declined 21.5% year-over-year to $1.78 billion, falling short of the projected $1.85 billion. Transaction-related revenue dropped 37% from the previous year to $982.7 million, while subscription and services revenue increased by more than 13% to $727.4 million.

The loss follows a decline in Bitcoin's price, which fell nearly 30% from its October high of $126,080 to under $88,500 by December 31. Bitcoin has dropped 25.6% this year after briefly crashing below $60,000 earlier this month.

Coinbase shares rose 2.9% in after-hours trading despite the earnings miss, suggesting investors may have anticipated worse results given the market downturn. The company projects continued pressure on transaction volumes due to market volatility and expects subscription and services revenue to decline from $727.4 million to a range between $550 million and $630 million this quarter.