Coinbase’s Q2 Financial Results Exceed Expectations
Coinbase, the leading cryptocurrency exchange, has released its financial results for the second quarter of the year and has surpassed analysts’ expectations. Here are the key points:
– Net revenue for Q2 was $663 million, a 10% decrease compared to the same period last year.
– Adjusted EBITDA was $194 million, and the net loss was $97 million, a significant improvement from the previous quarter.
– Transaction revenue was $327 million, down from $375 million in Q1, and the total trading volume decreased to $92 billion from $145 billion in Q1.
– Coinbase’s stock initially rose by 9% after the announcement but later dropped 1.4%.
– Analysts predicted a loss of $0.76 per share on $634 million in revenue, while Coinbase reported a loss of $0.42 per share on $708 million in revenue.
Analyst Believes Interest Income and Staking Revenue Were Key Factors
According to Mark Palmer from Berenberg Capital Markets, Coinbase’s revenue beat expectations due to strong interest income and staking revenue. He noted that these areas may face risks in the future.
Coinbase Faces Regulatory Trouble
Coinbase’s earnings report comes at a time when the company is under scrutiny by the U.S. Securities and Exchange Commission (SEC). The SEC has accused Coinbase of operating as an unregistered broker and securities exchange.
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