Coinbase Global, Inc.

What they do

Coinbase provides a platform for retail consumers and institutional customers to trade, custody, and use crypto assets, and for developers to build onchain products through the Base Chain and Coinbase Developer Platform. Trading is offered via Simple and Advanced interfaces, Coinbase Prime for institutions, and four company-operated exchanges (Coinbase Exchange, Coinbase International Exchange, Coinbase Derivatives Exchange, and Deribit Exchange). In December 2025 the company expanded beyond spot crypto to also offer stocks, commodity futures, perpetual futures, and prediction markets as part of its 'Everything Exchange' initiative.

Revenue drivers

• Transaction revenue — Generated from volume-based transaction fees and spreads on consumer and institutional trading across spot crypto, derivatives, equities, and prediction markets. It was $599.2 million in Q2 2026 and $1.4 billion for the six months ended June 30, 2026, down from $764.3 million and $2.0 billion in the comparable 2025 periods.
• Subscription and services revenue — Includes stablecoin products and other subscription offerings. It was $555.1 million in Q2 2026 and $1.1 billion for the six months ended June 30, 2026, versus $632.2 million and $1.3 billion in the same 2025 periods.
• Consumer trading — Retail customers trade through Simple and Advanced experiences; Simple trading fees are generally higher than Advanced trading fees. Simple focuses on ease of use for all experience levels, while Advanced targets sophisticated, higher-volume traders with spot and derivatives order books and market data tools.
• Institutional trading and markets — Coinbase Prime provides full-service prime brokerage with volume-based pricing and transaction fees on executed trades. The company also operates four exchanges that charge volume-based transaction fees: Coinbase Exchange (360+ crypto assets), Coinbase International Exchange (200+ crypto assets), Coinbase Derivatives Exchange (35+ futures across crypto and commodities), and the Deribit Exchange.

Recent performance

For Q2 2026, net revenue was $1.2 billion, including $599.2 million of transaction revenue and $555.1 million of subscription and services revenue, compared with $1.4 billion of net revenue in Q2 2025. The company reported a net loss of $359.5 million and Adjusted EBITDA of $207.8 million for Q2 2026, versus net income of $1.4 billion and Adjusted EBITDA of $512.1 million in Q2 2025. For the six months ended June 30, 2026, net loss was $753.6 million and Adjusted EBITDA was $511.1 million, compared with net income of $1.5 billion and Adjusted EBITDA of $1.4 billion in the first half of 2025. Assets on Platform were $245.9 billion at June 30, 2026, down from $425.0 billion a year earlier, primarily reflecting a $196.5 billion decline driven by lower prices of certain crypto assets held on the platform, partly offset by growth in units largely attributable to Bitcoin. Monthly Transacting Users were 7.6 million in Q2 2026 and 7.9 million for the six months ended June 30, 2026, down from 8.7 million and 9.2 million in the 2025 periods, mainly due to fewer trading users amid market conditions.

Strategy

Coinbase's stated top three product priorities for 2026 are to grow the Everything Exchange, scale stablecoins and payments, and expand onchain adoption. The company is expanding tradable assets and growing volume in equities and prediction markets, while reporting an all-time high in average USDC held in Coinbase products and growth in decentralized exchange trading and balances borrowed and lent through Coinbase. It plans to dynamically adjust its expense base to market conditions and revenue opportunities, with the May 2026 restructuring intended to align operating expenses with current conditions and optimize operations for the AI era. Management also cites growing regulatory clarity as positioning the company to drive crypto's role in the global economy.

Risks

• Volatile operating results tied to crypto prices — The company states its operating results have and will continue to fluctuate significantly quarter to quarter with crypto asset trading activity and prices, which are highly volatile and largely outside its control.
• Revenue mix and stablecoin concentration — Management identifies its ability to continue diversifying and growing subscription and services revenue, including stablecoin revenue, and its mix between transaction and subscription revenue as factors affecting results.
• Regulatory and legislative exposure — Changes in the legislative or regulatory environment, or actions by U.S. or foreign governments or regulators including fines, orders, or consent decrees, could adversely affect the business.
• Product and pricing changes — Regulatory changes or scrutiny affecting the company's ability to offer certain products or services, and pricing for or temporary suspensions of products and services, are cited as factors that can affect operating results.

Outlook

Management plans to adjust its expense base dynamically in response to market conditions and revenue opportunities, particularly variable expenses, and expects the May 2026 restructuring to better align operating expenses with current conditions. It anticipates the aggregate of technology and development and other expenses for the year ending December 31, 2026, with additional detail referenced in the restructuring note to the financial statements. The company also provided forward-looking guidance in its Q2 2026 earnings release for the third quarter ending September 30, 2026 and the year ending December 31, 2026, though specific figures are not included in the excerpts provided.