Coinbase stock rises after company posts higher revenue on crypto market upswing

Core Insights - Coinbase Global reported higher-than-expected profit and revenue for Q3, driven by increased trading activity in the crypto markets [1] - The company's net revenue reached $1.79 billion, a significant increase from $1.13 billion year-over-year [1] - Profits for the quarter totaled $433 million, or $1.50 per share, compared to $75.5 million in the same quarter last year [2] Revenue Breakdown - Transaction revenue fees rose 83% year-over-year to $1 billion [3] - Subscription and services revenue increased by 34% to a record high of $747 million [3] Trading Activity - Trading volume for the quarter was $295 billion, up from $185 billion last year [1] - Institutional trading revenues grew over 120% in the quarter, influenced by the acquisition of Deribit [7] Market Context - The stock price increased by 34% since the start of 2025, outperforming Bitcoin [2] - The Trump administration's regulatory support for the crypto industry has opened new opportunities for Coinbase [4] Strategic Initiatives - Coinbase launched a new white-glove service to attract and retain advanced traders [4] - The company has made significant acquisitions, including a $2.9 billion purchase of Deribit and a $375 million acquisition of Echo [6] Future Outlook - The company anticipates continued growth in stablecoin adoption, supported by favorable policies and institutional interest [5] - Coinbase believes it is well-positioned to lead as regulatory clarity in the crypto space increases [6]