Coinbase misses Q2 revenue estimates, but stablecoin growth, policy wins offer hope

Shares of Coinbase Global (COIN) plunged in after-hours trading Thursday after the crypto exchange missed Wall Street estimates on both earnings and revenue, despite hitting several key business milestones during the quarter.

Coinbase reported $1.5 billion in second-quarter revenue, falling short of analysts’ expectations of $1.56 billion to $1.59 billion. While net income came in at $1.4 billion, adjusted net income, excluding investment gains, was just $33 million.

Non-GAAP earnings were particularly weak, with profit at only $0.12 per share, well below the $1.49 per share analysts had projected. A sharp drop in transaction revenue, driven by falling spot crypto trading volumes, weighed heavily on results.

Still, the quarter offered some bright spots. While overall revenue was down 26% from the previous quarter, subscription and services sales slipped only 6% to $656 million, supported by rising stablecoin balances, primarily in USDC (). Stablecoin-related revenue rose 12% to $332 million.

Looking ahead, Coinbase expects subscription and service revenue to range between $665 million and $745 million in the fiscal third quarter.

COIN shares fell more than 8% in after-hours trading following the earnings report, according to Yahoo Finance data.

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Despite a slowdown in crypto market activity during the second quarter, the company pointed to major policy developments in July as “monumental milestones” for both the exchange and the wider industry.

Among the highlights: US President Donald Trump’s establishing a federal framework for stablecoin adoption, and the House’s passage of the CLARITY Act, aimed at defining crypto market structure.

Coinbase also noted progress on its product roadmap, including the expansion of its stablecoin rewards program and the launch of the Base App, which has attracted over 700,000 users to its open beta waitlist.

Looking ahead, the company revealed plans for a new platform dubbed the “everything exchange,” which will feature tokenized real-world assets, prediction markets and early token sales. 

The platform will debut in the US, with a “gradual international rollout based on jurisdictional approvals,” Coinbase Vice President of Product Max Branzburg told .

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