- Coinbase recorded $1.22 billion in Q3 revenue, down 35% year over year, while net income increased 66% to $719 million.
- Coinbase’s crypto trading market share reached 10.7%, while assets on its platform represented 12.5% of total crypto market capitalization.
- Prediction markets surpassed $200 million in annualized revenue, while subscription and services generated 49% of net revenue.
Coinbase reported $1.22 billion in third-quarter revenue, down 35% year over year, while net income climbed 66% to $719 million. The October 31 earnings report ended three consecutive quarters of losses. However, unrealized cryptocurrency gains drove much of the profit, while adjusted net income reached $78 million.
Coinbase Trading Share Reaches 10.7%
Earnings per share came in at $2.51, while adjusted EBITDA reached $333 million. That marked a 60% quarterly increase and Coinbase’s 15th consecutive quarter of positive adjusted EBITDA.
The company’s crypto trading volume market share rose to 10.7%, marking its fourth consecutive quarterly gain. Coinbase gained share in both spot and derivatives markets. Its derivatives trading volume recorded 179% compound annual growth over two years.
Assets on platform represented 12.5% of total cryptocurrency market capitalization, returning to a previous peak. Coinbase also reported record average USDC holdings of $22 billion, up 49% year over year. That amount represented roughly 30% of average USDC market capitalization.
Prediction Markets Generate $200 Million Annualized Revenue
Coinbase prediction markets exceeded $200 million in annualized revenue. The business recorded 82% quarterly compound growth since launch, while daily traders increased more than 60% quarter over quarter.
Additionally, subscription and services revenue accounted for 49% of net revenue. Paid Coinbase One subscribers reached a record, rising 24% annually. These customers generated 3.5 times higher average revenue per user and held 4.2 times higher balances.
USDC and Onchain Products Expand
Coinbase’s average daily loan book balance rose 74% year over year. Base remained the leading layer-2 network for spot crypto trading and decentralized finance total value locked. Tokenized stock trading volume on Base exceeded $1 billion since launch.
CEO Brian Armstrong said Coinbase regained its peak assets-on-platform market share. CFO Alesia Haas said subscription and services revenue grew quarter over quarter. She also described prediction markets as a revenue source less correlated with cryptocurrency volatility.
