Coinbase Sees Record Trading Volume Share Amid Q2 Loss

Coinbase posted disappointing second-quarter earnings on Thursday, reporting a net loss of $359 million as its revenue fell 19% from last year's levels.

The company generated $1.2 billion in net revenue during Q2, but this was below market expectations. Transaction revenue, subscription and services revenue, and adjusted EBITDA all missed forecasts.

Coinbase attributed the decline in trading revenue to a 25% quarter-on-quarter drop in spot crypto trading volume, lower market volatility, and weaker retail and institutional trading activity as crypto prices fell.

Despite the weak earnings, Coinbase's share of global crypto trading volume rose to a record 10.3%, up from 9.1% in the first quarter.