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Coinbase Posts Second Straight Quarterly Loss as Crypto Trading Slows

The weak quarter reflects a drop in crypto trading activity.

Overview

  • Coinbase, which reported results Thursday after the close, posted a net loss of $394.1 million, or $1.49 per share, marking a second straight quarterly loss.
  • Transaction revenue fell about 40% to $756 million as lower coin prices and investors moving to safer assets cut trading on the platform.
  • Shares slipped about 4% in after-hours trading after the company released the results.
  • Earlier this week, the company said it will cut about 14% of its workforce and lean on AI tools to streamline operations in response to tough market conditions.
  • Coinbase is lobbying in Washington to preserve the ability to pay interest on stablecoin balances, a policy that could support revenue from USDC reserves when trading slows.