Core Insights - Coinbase reported a significant net loss of $667 million in Q4 2025, marking its first profit miss since Q3 2023, after eight consecutive profitable quarters [1][9] - Revenue for the quarter was $1.78 billion, which was below the expected $1.85 billion, reflecting a 21.5% year-over-year decline [9] - The decline in transaction revenue was particularly severe, dropping 37% to $982.7 million, indicating reduced trader activity [1][9] Financial Performance - The $667 million loss was attributed in part to unrealized losses on Coinbase's own crypto holdings, as cryptocurrency prices fell sharply from their October 2025 highs [4] - Subscription and services revenue was a positive aspect, increasing by 13% to $727.4 million, but management has guided lower for Q1 2026, expecting revenue to fall between $550 million and $630 million [6][7] Market Context - The current market environment is characterized by low retail trader activity, with many casual investors remaining on the sidelines, which has negatively impacted transaction revenue [5] - The volatility in the crypto market is reminiscent of the uncertainty experienced during the FTX fallout, with the CEO describing the downturn as psychological [5]

Core Insights - Coinbase is exploring the possibility of launching its own prediction market venue while maintaining a partnership with Kalshi, keeping all options open for future developments [1] - The prediction market service launched by Coinbase saw significant engagement during Super Bowl LX, with Kalshi reporting a 2,700% year-over-year increase in volume, totaling over $1 billion wagered [2] Financial Performance - Coinbase reported fourth-quarter revenue of $1.78 billion, which was below analyst forecasts, but the earnings per share (EPS) of $0.66 exceeded expectations [4] - For the full fiscal year, Coinbase's total revenue reached $7.2 billion, reflecting a 9% increase year-over-year [4] Market Reaction - Following the earnings report, Coinbase shares rose by 0.87% in after-hours trading after a decline of 7.90% during regular trading hours, closing at $141.09 [5] - The stock is currently experiencing a weaker price trend across short, medium, and long-term periods, with an average value ranking according to Benzinga's Edge Stock Rankings [5] Marketing Efforts - Coinbase aired a karaoke-style advertisement during Super Bowl LX, which did not resonate well with viewers, resulting in it being the lowest-rated advertisement following the event [3]

Core Insights - Coinbase reported a surprise net loss of approximately $667 million for Q4 2025, with earnings per share at –$2.49, missing Wall Street expectations for profitability [2] - The results highlighted the challenges of forecasting in the volatile crypto market, contrasting sharply with earlier optimistic projections [3] Group 1: Financial Performance - Revenue for Q4 2025 was reported at roughly $1.78 billion, indicating a significant decline in transaction revenue year-over-year due to reduced trading activity [2][4] - The decline in trading activity was attributed to falling crypto prices and decreased retail participation, which negatively impacted volumes across digital asset markets [4] Group 2: Market Environment - The broader market environment saw a sharp decline in Bitcoin and other major tokens during Q4, leading to lower activity and fee generation for exchanges and trading platforms [5] - A significant portion of Coinbase's reported loss was due to unrealized losses on its crypto investment portfolio and strategic stakes, which were marked down as asset prices fell [5] Group 3: Long-term Outlook - Despite the disappointing quarterly results, Coinbase executives emphasized strong long-term growth metrics and progress in diversification efforts [1]

Group 1 - Standard Chartered, known as the "Bitcoin bull market flag bearer," has significantly lowered its 2026 year-end Bitcoin price target from $150,000 to $100,000, warning that Bitcoin could drop to around $50,000 before stabilizing [4][5] - The largest cryptocurrency exchange in the U.S., Coinbase Global Inc., reported a surprising fourth-quarter loss of $667 million, with total revenue declining by over 20% to $1.8 billion, highlighting the impact of falling cryptocurrency prices on trading activity [7] - Bitcoin has experienced a significant sell-off, with its price recently dipping below $60,000, marking a decline of over 45% from its October peak of approximately $126,000 [5][6] Group 2 - Recent data shows that "Bitcoin whales" have accumulated about 53,000 Bitcoins in the past week, marking the largest buying spree since November, which helped stabilize prices despite ongoing selling pressure from institutional investors [3] - Market sentiment is under pressure due to concerns over risk assets, with analysts suggesting that if Bitcoin fails to hold above the $60,000 to $58,000 range, it could face deeper declines towards the $40,000 support level [6] - The cryptocurrency market has seen a significant liquidity crisis, with the largest daily drop since November 2022, indicating a loss of trust in Bitcoin [2]

Group 1: Market Sentiment and Price Predictions - Standard Chartered warns that Bitcoin may weaken further, lowering its 2026 year-end price target from $150,000 to $100,000, with a potential drop to around $50,000 before stabilizing [4] - Bitcoin's trading price recently fell to just above $66,000, having previously dropped as much as 4% to $65,079, marking a significant decline from its October peak of over $126,000 [1][5] - The cryptocurrency market is experiencing a liquidity crisis, with Bitcoin facing a trust crisis as it briefly dipped below $60,000, leading to the worst single-day drop since November 2022 [2] Group 2: Institutional and Investor Behavior - "Bitcoin whales" accumulated approximately 53,000 Bitcoins in the past week, marking the largest buying spree since November, despite most institutional investors remaining inactive [3] - Coinbase Global Inc. reported a fourth-quarter loss of $667 million, with total revenue declining by over 20% to $1.8 billion, highlighting the impact of falling cryptocurrency prices on trading activity [7] - Analysts express skepticism about the market's recovery, with one stating that the assumption of a steady recovery in the cryptocurrency market is "foolish" and "superficial" [7]

Core Insights - Coinbase's CEO Brian Armstrong emphasized that the company's Super Bowl advertisement aimed to capture attention in a competitive market, despite criticism regarding its educational value on cryptocurrency [1][2]. Advertising Strategy - Armstrong described the Super Bowl as an "overwhelming" event, highlighting the challenge of gaining viewer attention amidst fierce competition [2]. - The company is exploring new commercial formats and has invited community input for future advertisements [3]. Advertisement Performance - The recent karaoke-style ad, which featured lyrics from the Backstreet Boys' 1997 hit "Everybody," was poorly received, ranking as the lowest-rated advertisement on USA Today's Ad Meter following the event [4]. - This performance contrasts sharply with the successful floating QR code advertisement from the previous year, which led to a significant surge in user engagement and caused Coinbase's application to crash [4][5]. Financial Performance - Coinbase reported fourth-quarter total revenue of $1.78 billion, which fell short of analyst expectations, while earnings of 66 cents per share exceeded consensus estimates [5]. - The company experienced a brief outage that affected user trading, but the issue was resolved [6]. Stock Performance - Coinbase shares rose 0.87% in after-hours trading after a 7.90% decline during regular trading hours, with the stock down 37% year-to-date [6]. - The stock maintains a weaker price trend across short, medium, and long-term evaluations, with an average Value ranking according to Benzinga's Edge Stock Rankings [7].

Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Treasury Secretary Scott Bessent says recent crypto market volatility underscores the need for swift regulatory clarity, while taking aim at Coinbase Global (NASDAQ:COIN) for opposing the proposed Clarity Act. Bessent Presses For Market Structure Bill In a Fox Business interview, Bessent argued that the latest turbulence in crypto markets has made clear rules more urgent than ever. He said the Clarity Ac ...

Core Insights - Coinbase Global, Inc. reported a revenue of $1.78 billion for the quarter ended December 2025, reflecting a 21.6% decline year-over-year and a slight miss of 0.55% against the Zacks Consensus Estimate of $1.79 billion [1] - The earnings per share (EPS) was $0.66, significantly lower than the $3.39 reported in the same quarter last year, and also fell short of the consensus estimate of $0.92 by 28.26% [1] Financial Performance Metrics - Trading Volume reached $296.00 billion, exceeding the six-analyst average estimate of $279.23 billion [4] - Monthly Transacting Users (MTUs) were reported at 9.2 million, slightly below the average estimate of 9.37 million [4] - Institutional Trading Volume was $237.00 billion, surpassing the average estimate of $228.36 billion [4] - Consumer Trading Volume stood at $59.00 billion, above the five-analyst average estimate of $54.33 billion [4] - Total Subscription and Services Net Revenue was $727.4 million, marginally below the average estimate of $735.15 million, but showed a year-over-year increase of 13.5% [4] - Other Revenue was $71.09 million, slightly below the average estimate of $73.98 million, representing a 4.7% decline year-over-year [4] - Transaction Revenue was $982.7 million, falling short of the $1.03 billion estimate, marking a 36.8% decrease year-over-year [4] - Overall Net Revenue was $1.71 billion, below the $1.79 billion estimate, reflecting a 22.2% decline year-over-year [4] - Subscription and Services Revenue from Blockchain was $151.6 million, below the average estimate of $173.31 million, indicating a 29.5% year-over-year decline [4] - Other Subscription and Services Revenue was $151.7 million, exceeding the average estimate of $136.59 million, with a year-over-year increase of 66% [4] - Interest and Finance Fee Income from Subscription and Services was $59.9 million, slightly below the average estimate of $61.61 million, representing an 8.8% decline year-over-year [4] - Stablecoin Revenue was $364.1 million, surpassing the average estimate of $355.44 million, with a year-over-year increase of 61.2% [4] Stock Performance - Coinbase Global's shares have declined by 40.1% over the past month, contrasting with a minor decline of 0.3% in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 4 (Sell), suggesting potential underperformance relative to the broader market in the near term [3]

Market Overview - Major U.S. indexes closed lower, with the Dow Jones Industrial Average down 1.34% to 49,451.98, the S&P 500 down 1.57% to 6,832.76, and the Nasdaq down 2.04% to 22,597.14 [1] Coinbase Global, Inc. - Coinbase stock closed down 7.90% at $141.09, with an intraday high of $153.20 and low of $139.36, within a 52-week range of $444.65 to $139.36 [2] Apple Inc. - Apple shares ended 5.00% lower at $261.73, trading between an intraday high of $275.72 and a low of $260.18, against a 52-week high of $288.61 and a low of $169.21 [2] - The decline contributed to a $500 billion loss across major tech companies due to concerns over memory shortages and shrinking margins at peers like Cisco, compounded by hardware cost pressures and AI-related disruptions [2] Applied Materials - Applied Materials declined 3.38% to $328.39, with an intraday range of $341.07 high and $325.56 low, sitting between a 52-week peak of $344.60 and a trough of $123.74 [3] - The stock rose 12.75% to $370.25 in after-hours trading after resolving a U.S. export probe with a $252 million settlement over past China shipments, allowing a focus on AI-driven chip tools and collaborations [3] Arista Networks, Inc. - Arista Networks fell 3.94% to $135.12, ranging from $138.50 high to $132.01 low intraday, within 52-week bounds of $164.94 and $59.43 [4] - The stock increased nearly 12.5% to $151.99 in extended trading [4] - For full-year 2025, Arista generated $9 billion in revenue and shipped a cumulative 150 million ports, with AI networking and campus expansion identified as key growth drivers [4] Rivian Automotive, Inc. - Rivian stock dropped 5.15% to $14.00, hitting an intraday high of $14.83 and low of $13.94, against a 52-week high of $22.69 and low of $10.36, but rose over 14% to $16.03 in after-hours trading [5] - Rivian reported fourth-quarter revenue of $1.29 billion, down from $1.73 billion a year earlier but slightly ahead of the $1.27 billion Street estimate [6] - Automotive revenue totaled $839 million, falling 45% year-over-year due to lower regulatory credit sales, fewer vehicle deliveries, and a lower average selling price, while software and services revenue surged 109% to $447 million [6] - The company posted a narrower-than-expected loss of 54 cents per share, beating estimates for a 68-cent loss, and generated $120 million in consolidated gross profit during the quarter [7] - Full-year revenue rose 8% to $5.39 billion, with CEO RJ Scaringe emphasizing 2025 as a year focused on execution and scaling the business [8]

Core Insights - The company is transitioning to an "everything exchange" model, focusing on monetizing customer assets through stablecoins, payments, lending, and subscriptions rather than just trades [1][4][10] Financial Performance - Coinbase reported a fourth-quarter loss of $667 million, primarily due to markdowns in its crypto investment portfolio, with fourth-quarter revenue declining by approximately 20% [3][4] - Despite the loss, total trading volume for Coinbase reached $5.2 trillion in 2025, representing a 156% year-over-year increase, and its share of global crypto trading doubled to 6.4% [9][12] Strategic Focus - The leadership emphasizes a shift away from relying solely on crypto market sentiment for revenue, aiming for a diversified growth strategy centered around an "asset accumulation flywheel" [10][12] - Assets held on Coinbase have tripled over the past three years, with over 12% of global crypto stored on its platform in 2025, allowing for monetization through staking, lending, and payments [12] Operational Challenges - Operating expenses increased by 35% year-over-year to $5.7 billion, driven by acquisitions, regulatory investments, marketing, and infrastructure development [13] - The transition to a diversified financial ecosystem is capital-intensive, and the company views the current market phase as a build period rather than a harvest period [14] Regulatory Environment - Regulatory clarity is seen as crucial for the next phase of blockchain adoption, with ongoing debates in the U.S. regarding stablecoin legislation potentially delaying progress [15][16] - Coinbase has been involved in regulatory discussions, with its CEO actively engaging with lawmakers [16]