Coinbase Posts Surprise Loss as Crypto Trading Dries Up
Coinbase posted a surprise net loss of $359 million in Q2 earnings, despite reporting $1.22 billion in revenue. The miss was broad, with revenue coming in below expectations and total crypto spot trading volume falling more than 20% from the prior quarter.
The company blamed late-closing USDC commercial agreements and lower staking revenue from falling prices for the shortfall in subscription and services revenue. However, stablecoin revenue reached $292 million, with average USDC held on Coinbase products hitting a record $20 billion.
Coinbase's share of global crypto trading volume hit a record 10.3%, its third straight quarter of market-share gains. The company also held $8.6 billion in cash and extended a 14-quarter streak of positive adjusted EBITDA.