Coinbase Posts $433M Profit: "Everything Exchange" Accelerates

Coinbase Global (NASDAQ: COIN) has reported robust financial results for the third quarter of 2025, significantly exceeding analyst expectations. The largest U.S. crypto exchange posted an impressive net income of $433 million and total revenue of $1.9 billion, demonstrating substantial progress in its "Everything Exchange" vision.

Exceptional Q3 2025 Financial Performance

In Q3 2025, Coinbase achieved a net income of $433 million, a considerable increase year-over-year and beating Wall Street's Earnings Per Share (EPS) estimate of $1.05 by 45%, reaching $1.50 per share. The company's total revenue stood at $1.9 billion, a 25% increase from the prior quarter and surpassing the analyst consensus of $1.75 billion. This revenue also marks a 55% rise from a year ago.

Transaction revenue climbed by 37% quarter-over-quarter to $1.0 billion, with consumer trading activity growing 37% to $59 billion. Notably, institutional transaction revenue surged by 122% to $135 million, indicating increasing institutional engagement with Coinbase's platform. Total trading volume for the quarter reached $295 billion, up 24% sequentially, with institutional activity accounting for 80% of this volume.

Furthermore, subscription and services revenue also made a significant contribution, reaching $747 million, a 14% increase quarter-over-quarter. Key components of this revenue stream included stablecoin revenue and blockchain rewards.

"Everything Exchange" Vision Shapes The Future

CEO Brian Armstrong's "Everything Exchange" vision is steadily taking shape, aiming to build a comprehensive platform that combines three layers of activity: trading, financial services, and applications. This strategy is designed to attract users through regulated spot and derivatives markets, retain them with financial utilities such as custody, rewards, and lending, and provide infrastructure and developer tools for on-chain applications.

Expanding Derivatives And Custody Markets

Coinbase has significantly expanded its market share in derivatives. Following the acquisition of the derivatives platform Deribit in August, Coinbase achieved an all-time high market share in U.S. crypto futures and global crypto options. Deribit contributed $52 million to revenue, helping institutional transaction revenue jump by 122%. Combined, Coinbase and Deribit processed over $840 billion in notional derivatives volume during the quarter. The company also launched perpetual futures and 24/7 futures trading for U.S. customers.

In the custody sector, Coinbase reached an all-time high with Assets Under Custody (AUC) exceeding $300 billion. Total assets on the platform concluded Q3 at $516 billion.

Stablecoin's Remarkable Growth

The role of stablecoins, particularly USD Coin (USDC), continues to strengthen. USDC's market capitalization hit an all-time high of $74 billion. Average USDC balances held within Coinbase products exceeded $15 billion, also a record, contributing $355 million in revenue, up 7% sequentially. Coinbase views stablecoins not just as an investment vehicle but as the backbone of a new payments infrastructure, implementing Payment APIs and B2B interfaces to allow enterprises to embed USDC settlement and automate treasury flows on its Base network.

Other Initiatives And Future Outlook

Coinbase now covers approximately 90% of the total crypto asset market capitalization through expanded spot listings. The company also continued its investment in Bitcoin, increasing its BTC holdings by 2,772 BTC in Q3, bringing the total to 14,548 BTC, valued at $1.57 billion. To further advance its "Everything Exchange" vision, Coinbase acquired the founding team of Sensible, a DeFi platform, to simplify decentralized finance applications for users. The company also anticipates expanding into tokenized stocks, prediction markets, and early-stage token sales.

Coinbase's total operating expenses declined 9% quarter-over-quarter to $1.4 billion, while full-time employees increased 12% to 4,795. For Q4 2025, Coinbase projects subscription and services revenue to be in the range of $710 million to $790 million.

Conclusion

Coinbase's Q3 2025 results demonstrate a company in a strong position, driven not only by trading activity but also by diversified revenue streams from subscriptions, derivatives, and stablecoins. With its "Everything Exchange" vision aggressively rolling out, Coinbase is positioning itself as a comprehensive financial infrastructure provider, ready to lead in the evolving crypto-economy era.

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