Coinbase revenue misses estimates as Q2 net loss hits $359.5 million

Coinbase posted $1.22 billion in Q2 revenue, missing the $1.29 billion consensus, as crypto trading volumes slumped across the industry.

"Despite market headwinds, our fundamentals remain strong as we consolidate trading share and continue to build through the cycle," Alesia Haas, chief financial officer at Coinbase, said.

The exchange reported a net loss of $359.5 million, or $1.36 per diluted share, narrowing from $394.1 million in the first quarter and $666.7 million in the fourth quarter of 2025. Transaction revenue came in at $599.2 million. Adjusted EBITDA stayed positive for a 14th consecutive quarter at $207.8 million, down from $303.3 million three months earlier. Restructuring costs added $52.4 million after the company cut 700 jobs earlier this year.

The results extend a losing streak — three straight quarters in the red — but Coinbase's diversification push is gaining traction. Subscription and services revenue reached $555.1 million, or 48% of net revenue, up from 29% in the fourth quarter of 2024. The company said 88% of net revenue came from sources other than Bitcoin spot trading. Average USDC held in Coinbase products hit a record $20 billion, representing more than 30% of the stablecoin's circulating supply.

Trading volume market share climbed to 10.3% from 9.1% in the first quarter, a third consecutive record. Derivatives share also hit an all-time high for the third straight quarter. The gains came as the broader crypto derivatives market contracted by double digits over the same period. Prediction markets did the heaviest lifting, with contracts and revenue both more than doubling quarter over quarter, crossing $100 million in annualized revenue.

On the Base layer-2 network, stablecoin transaction volume rose sevenfold year over year. Coinbase co-founder and chief executive Brian Armstrong said the company is "no longer a bet just on the price of Bitcoin."

Rival Robinhood saw crypto revenue drop 38% year over year, a sign of the broader industry weakness that Coinbase is navigating through market share gains.

Coinbase reduced and narrowed its 2026 adjusted expense guidance. The company now implies GAAP technology, administrative and marketing costs of $4.34 billion to $4.6 billion this year.

COIN shares fell 5.44% in after-hours trading to $154.68, erasing a 2.18% regular-session gain that had left the stock at $163.58.

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