Coinbase Earnings Shock as Trading Revenue Falls Below $1 Billion—Where Is the Bottom?

▲ Coinbase / ChatGPT-generated image ©

Coinbase’s earnings fell short of market expectations as weakening trading volumes coincided with declining cryptocurrency prices.

According to cryptocurrency-focused media outlet CoinDesk on February 13 (local time), U.S. crypto exchange Coinbase (COIN) missed both revenue and earnings per share (EPS) estimates in its fourth-quarter 2025 results. Total revenue came in at $1.78 billion, below the expected $1.83 billion, while adjusted EPS was $0.66, significantly missing the consensus estimate of $0.86.

In particular, trading revenue—its core source of income—totaled $982.7 million, falling short of the market forecast of $1.02 billion. This marks a clear decline compared to $1.046 billion in the previous quarter and $1.556 billion a year earlier. Analysts note that falling crypto prices and subdued trading activity directly weighed on performance.

Subscription and services revenue reached $727.4 million, down from $746.7 million in the previous quarter but up from $641.1 million in the same period last year. The company added that trading revenue for the first quarter of 2026 through February 10 was approximately $420 million. It projected first-quarter subscription revenue guidance in the range of $550 million to $630 million.

“The crypto industry is cyclical,” Coinbase stated, emphasizing that “market conditions can be overly optimistic at times and overly pessimistic at others.” Despite significant asset price volatility, the company maintained optimism about its long-term growth trajectory, citing continued technological advancements and adoption of digital asset products.

On the day of the earnings announcement, the stock fell 7.9% during regular trading, widening its year-to-date decline to about 40%. However, shares saw a slight rebound in after-hours trading. Market observers noted that trading revenue dropping below $1 billion symbolically highlights weakening market momentum.

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