Coinbase Posts $359.5M Net Loss in Q2, Shares Drop After Hours
Coinbase reported a net loss of $359.5 million for the second quarter on revenue of $1.22 billion, missing Wall Street's expectations of $1.29 billion. The company has now posted losses for three consecutive quarters, though each subsequent loss has been smaller than the previous one. COIN shares fell 5.44% after hours to $154.68 despite a record trading market share and positive adjusted EBITDA figures. Coinbase's crypto trading volume market share increased to 10.3%, but this growth occurred in a shrinking overall market, with the wider derivatives segment contracting by double digits. Prediction markets saw significant gains, while Bitcoin spot trading volumes hit multi-year lows. The company is increasingly relying on stablecoins and services revenue, which now account for nearly half of its total net income. Looking ahead, Coinbase has revised its 2026 expense guidance downward but faces the challenge of growing a larger share in an overall shrinking market. Management remains optimistic about long-term fundamentals despite current headwinds.
Topics: cryptocurrency losses stock_performance