Coinbase CEO Expresses Confidence, Says Company in ‘Strongest Position’ Despite 60% Drop From Peak

▲ World Liberty Forum, Coinbase CEO Brian Armstrong/Source: X ©

Coinbase CEO Brian Armstrong fired back at Wall Street, which has expressed disappointment over the company’s weak performance, saying investors are misunderstanding the firm’s potential. He warned that those who fail to embrace the disruptive transformation of traditional finance by digital assets will be left behind.

According to DL News on February 19 (local time), Armstrong posted on X on the 18th that although Coinbase’s stock has fallen 36% over the past year, the company is in a stronger position than ever. He said Coinbase is somewhat misunderstood, adding that as digital assets directly reshape Wall Street, it is natural for some in the financial establishment to misinterpret both crypto and Coinbase. He added that the smartest people will adapt, while those who lag behind will be discarded.

Recently, Coinbase has faced mounting challenges as crypto prices declined, leading to a sharp drop in trading revenue. During the final three months of 2025, the company reported quarterly losses in both revenue and profit, and its stock plunged as much as 60% from its peak last July. For Wall Street analysts who strictly evaluate companies based on performance metrics, Coinbase’s current report card is close to a failing grade.

Armstrong, however, argued that analysts are focusing on the wrong indicators. As regulators have softened their stance, JPMorgan Chase signed an agreement last year to link client accounts with Coinbase. The company has also provided custody services to Wall Street giants such as BlackRock and secured contracts to store seized digital assets for the U.S. government, underscoring its evolution beyond a simple exchange into a core financial infrastructure provider. He remarked that just as one wouldn’t ask a taxi company what it thinks of Uber, it is unsurprising for career traditional financiers to be skeptical of digital assets.

Mark Palmer, an analyst at Benchmark, echoed Armstrong’s view in a note shared with DL News. He explained that while Coinbase’s stock price moves closely in line with cryptocurrencies such as Bitcoin, the company’s underlying business is becoming significantly more diversified and resilient. In particular, rising institutional trading revenue is a positive signal that large investors are increasingly using its services.

Coinbase is currently at odds with banking executives who seek to ban the payment of rewards on stablecoins. In line with Armstrong’s vision of making the platform a primary financial account for users, the company believes that defending yield-generating stablecoin products will serve as a major driver of long-term business growth.

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