Coinbase Shares Slip Despite Strong Growth in Prediction Market Segment

Coinbase's shares fell by roughly 7% in after-hours trading on Thursday despite strong growth in its prediction market segment and record trading market share.

The company reported that prediction market contracts and revenue more than doubled during the second quarter, growing 106% quarter over quarter and surpassing $100 million in annualized revenue.

Coinbase also captured a record 10.3% share of global crypto trading volume in the second quarter, up from 9.1% in the prior quarter.

CEO Brian Armstrong said that 'Coinbase is no longer a bet just on the price of Bitcoin.' The company's stablecoin business continued to expand, with the average USDC held in Coinbase products reaching a record $20 billion during the quarter.