A smartphone with the Coinbase logo and the representation of cryptocurrencies are placed on a keyboard on this photo taken on June 8, 2023.
Dado Ruvic | Reuters
Jamming The actions have dropped because the revenues of the first quarter came among the expectations of Wall Street, despite the growth of Stablecoin income.
During the closed quarter on March 31, Coinbase won $ 65.6 million, or 24 cents per share, against $ 1.18 billion, or $ 4.40 per share a year ago. Excluding the impact of cryptographic investments, the adjusted profit of Coinbase was $ 527 million, or $ 1.94 per share.
Revenues increased to $ 2.03 billion against $ 1.64 billion a year ago, but were less estimated by the $ 2.12 billion in LSEG.
Transactions revenues raised $ 1.26 billion in the quarter, while subscription and services revenue reached $ 698.1 million in the quarter.
The company, which operates the largest cryptocurrency market in the United States, said that the consumer negotiation volume had dropped 17% from the fourth quarter to $ 78.1 billion. The volume at the end of last year was raised by the election of President Donald Trump and hopes that it would bring a more favorable regulatory environment.
The volume of institutional negotiation fell 9% of the fourth quarter to $ 315 billion.
The first quarter saw several positive developments for cryptocurrency, including a summit of all time for Bitcoin on January 20. However, the concerns about Trump’s pricing policy caused great volatility in April, which attenuated investors’ appetite for risky assets such as crypto.
Coinbase said he generated about $ 240 million in transactions in April only.
For the second quarter, Coinbase provides subscription and service income in a range of $ 600 million at $ 680 million.
The growth of Stablecoin revenues in the second quarter should be more than offset by the drop in blockchain awards due to the drop in asset prices, the company said.
Earlier Thursday, Coinbase announced its intention to buy Dubai Deribit, a great exchange of crypto derivatives for $ 2.9 billion. The agreement, which is the largest in cryptographic industry to date, will help Coinbase to expand its imprint outside the United States
In the first quarter, Coinbase said that its derivative activities had continued to grow market share.
Coinbase action dropped by 2% in prolonged trading. The shares won 5% during the session on Thursday, but dropped by almost 17% over a year.
Read here the complete letter of Coinbase shareholders.
