Coinbase Q1 Financial Results Show Resilient Financial Performance Driven by New All-Time High Crypto Trading Volume Market Share

Everywhere/SAN DIEGO--(BUSINESS WIRE)-- Coinbase Global, Inc. (Nasdaq: COIN) reported progress across the Everything Exchange, stablecoins and payments, and onchain adoption - serving consumers, developers, agents, institutions, banks, and government agencies as the most trusted name in crypto.

Everything Exchange: Coinbase reaches all-time high crypto trading volume market share

• Coinbase crypto trading volume market share increased to 8.6%, a new all-time high driven by product innovation and derivatives growth.
• Coinbase continues to hold more crypto than any platform in the world, securely storing 12% of global crypto assets.
• Coinbase derivatives trading volume TTM grew 169% year-over-year, driven by increasing consumer and institutional adoption, with retail derivatives surpassing $200 million in annualized revenue, a new all-time high.
• Coinbase prediction markets reached $100 million in annualized revenue in March (first two full months live) following U.S. launch, one of its fastest scaling products ever, driven by strong retail interest.

Stablecoin and payments: Coinbase drives USDC growth and Base powers agentic stablecoin transactions

• Coinbase is the distribution engine driving growth of USDC, the world's largest regulated stablecoin, with more than 25% of total USDC in circulation (~$19 billion average USDC held in Coinbase products).
• Base, Coinbase's layer-2 blockchain, processed 62% of total global onchain stablecoin transaction volume, exceeding all other chains combined.
• More than 90% of onchain agentic stablecoin transaction volume was on Base, making Coinbase the #1 platform for onchain agentic commerce.
• 100 million+ payments processed via Coinbase's x402 protocol, with 99%+ of x402 transactions completed using USDC.

Onchain adoption: Coinbase sees 2x increase in DEX trading volume

• Coinbase saw a 2x increase in decentralized exchange (DEX) trading volume quarter-over-quarter, driven by native integration of DEX in the Coinbase app.
• Coinbase saw $1 billion year-over-year growth in Borrow/Lend balances.

"We executed well on what was in our control in Q1," said Brian Armstrong, Co-Founder and CEO. "We saw huge growth in derivatives trading volume, driven by our Everything Exchange. We hit a new all-time high in USDC held in Coinbase products and saw 10x year-over-year growth in stablecoin transactions on Base. We're also leading on the next frontier with over 90% of onchain agentic stablecoin transaction volume happening on Base. We believe there will soon be billions of agents transacting and they need rails that can keep up, and Coinbase is at the center of the agent economy."

"The market environment this quarter was softer, but the underlying fundamentals of our business remain strong," said Alesia Haas, Chief Financial Officer. "We've now delivered 13 consecutive quarters of positive Adjusted EBITDA spanning both bull and bear markets, alongside 12 consecutive quarters of native unit inflows. And we're growing new revenue streams, with 12 product lines each generating over $100 million annualized, and prediction markets on their way to becoming the 13th."

As the most trusted crypto platform with the broadest product suite, Coinbase's results show continued conviction that all asset classes will come onchain, and strengthened positioning to drive and capitalize on that shift.

Non-GAAP Financial Measure

This press release includes Adjusted EBITDA, a financial measures that is not prepared in accordance with U.S. generally accepted accounting principles ("GAAP"). A definition, explanation, and reconciliation to the most comparable GAAP financial measure can be found in the appendix to this press release.

Quarterly Conference Call

Materials containing Coinbase's financial results for the first quarter ending March 31, 2026 have been posted on its Investor Relations website at investor.coinbase.com. The Company will hold a webcast to discuss these financial results at 2:30 p.m. PT today. The live webcast of the call can be accessed here. Following the call, a replay of the call, as well as a transcript, will be available on the Investor Relations website at investor.coinbase.com.

Disclosure Information

In addition to filings with the Securities and Exchange Commission (SEC), the Company uses its Investor Relations website (investor.coinbase.com), its blog (blog.coinbase.com), press releases, public conference calls and webcasts, its X feed (@coinbase), Brian Armstrong's X feed (@brian_armstrong), its LinkedIn page, and its YouTube channel as means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD.

Forward-Looking Statements

This communication contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements. These statements include, but are not limited to, statements regarding our future operating results and financial position; our business strategy and plans; expectations relating to our industry, the regulatory environment, market conditions, trends and growth; our market position; potential market opportunities; and our objectives for future operations. The words "believe," "may," "will," "estimate," "potential," "continue," "anticipate," "intend," "expect," "could," "would," "project," "plan," "target," and similar expressions are intended to identify forward-looking statements. Forward-looking statements are based on management's expectations, assumptions, and projections based on information available at the time the statements were made. These forward-looking statements are subject to a number of risks, uncertainties, and assumptions including those discussed in our SEC filings, including our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on February 12, 2026 and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 filed with the SEC on May 7, 2026. Except as required by law, we assume no obligation to update these forward-looking statements, or to update the reasons if actual results differ materially from those anticipated in the forward-looking statements.

About Coinbase

Coinbase (NASDAQ: COIN) is on a mission to increase economic freedom in the world. The most trusted crypto platform, Coinbase stores more digital assets than any other company and is building the everything exchange - one place to access crypto, equities, derivatives, prediction markets, and more. Coinbase serves consumers through its suite of financial apps, institutions through Coinbase Prime, and developers through the Coinbase Developer Platform. Every experience runs on Coinbase's full-stack platform powering the future of finance: secure custody, deep exchange liquidity, stablecoin infrastructure, and global settlement rails - all built on a decade-plus foundation of security and compliance.

¹ Measured based on when a given product generated $200 million in quarterly annualized net revenue for the most recent qualifying quarter.

² Measured based on when the product generated $100 million in quarterly annualized net revenue, calculated as twelve times March revenue.

Appendix

Note: Amounts may not add as presented due to rounding.
[1] Losses, net of recoveries, directly related to the data theft incident announced on the Current Report on Form 8-K we filed with the SEC on May 15, 2025 (the "Data Theft Incident"), including voluntary customer reimbursements, direct legal costs, and reward payments, if any, in connection with the threat actor's arrest and conviction.
[2] See Note 16. Other Condensed Consolidated Statements of Operations Details to the Condensed Consolidated Financial Statements in our Quarterly Report on Form 10-Q for the quarter ended on March 31, 2026 filed with the SEC on May 7, 2026 for additional details.
[3] We calculate Adjusted EBITDA as net loss or income, adjusted to exclude provision for or benefit from income taxes, interest expense, depreciation and amortization expense, stock-based compensation expense, net gains or losses on our crypto assets held for investment, losses, net of recoveries, directly related to the data theft incident, and other income or expense, net, which represents net gains or losses on investments and other financial instruments, and other non-operating income and expense activity.

Adjusted EBITDA

We believe Adjusted EBITDA, a non-GAAP financial performance measure, is useful information to help investors evaluate our operating performance because it: enables investors to compare this measure and component adjustments to similar information provided by peer companies and our past financial performance; provides additional company-specific adjustments for certain items that may be included in income from operations but that we do not consider to be normal, recurring, operating expenses (or income) necessary to operate our business given our operations, revenue generating activities, business strategy, industry, and regulatory environment; and provides investors with visibility to a measure management uses to evaluate our ongoing operations and for internal planning and forecasting purposes. For example:

• We believe it is useful to exclude certain non-cash expenses, such as depreciation and amortization and stock-based compensation, from Adjusted EBITDA because the amounts of such expenses can vary significantly from period to period and may not directly correlate to the underlying performance of our business operations.
• We believe it is useful to exclude certain items that we do not consider to be normal, recurring, cash operating expenses and therefore, not reflective of our ongoing business operations. For example, we exclude: (i) other (income) expense, net, as the income and expenses recognized in this line item are not part of our core operating activities and are considered non-operating activities under GAAP, (ii) gains and losses on crypto assets held for investment because such investments are considered primarily long-term holdings, and (iii) losses, net of recoveries, directly related to the data theft incident announced on the Current Report on Form 8-K we filed with the SEC on May 15, 2025 (the "Data Theft Incident"), including voluntary customer reimbursements, direct legal costs, and reward payments, if any, in connection with the threat actor's arrest and conviction. We do not plan on engaging in regular trading of crypto assets, and, as an operating company, our investing activities in crypto are not part of our revenue generating activities, which are primarily based on transactions on our platform and the sales of subscriptions and services.
• We believe Adjusted EBITDA is useful to measure a company's operating performance without regard to items such as stock-based compensation expense, depreciation and amortization expense, interest expense, other (income) expense, net, and provision for (benefit from) income taxes that can vary substantially from company to company depending upon their financing, capital structures, and the method by which assets were acquired.

Limitations of Non-GAAP Financial Measures

We believe that non-GAAP financial measures may be helpful to investors for the reasons noted above. However, non-GAAP financial measures are presented for supplemental informational purposes only, have limitations as analytical tools, and should not be considered in isolation or as a substitute for financial information presented in accordance with GAAP. In addition, other companies, including companies in our industry, may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our disclosure of non-GAAP financial measures as a tool for comparison.

There are a number of limitations related to Adjusted EBITDA rather than net (loss) income, which is the nearest GAAP equivalent of Adjusted EBITDA. Some of these limitations are that Adjusted EBITDA excludes:

• provision for (benefit from) income taxes;
• interest expense, or the cash requirements necessary to service interest or principal payments on our debt, which reduces cash available to us;
• depreciation and amortization expense and, although these are non-cash expenses, the assets being depreciated and amortized may have to be replaced in the future;
• stock-based compensation expense, which has been, and will continue to be for the foreseeable future, a significant recurring expense for our business and an important part of our compensation strategy;
• net losses or recoveries directly related to the Data Theft Incident;
• net gains or losses on our crypto assets held for investment; and
• other (income) expense, net, which represents net gains or losses on investments and other financial instruments, and other non-operating income and expense activity.