Coinbase Q1 Earnings Surge: $1.18B Net Income, Bitcoin Transactions Up 93%, Ethereum on Base Brings in $56.1M

San Francisco, California, California, USA United States of America
Base, Coinbase's Ethereum layer-2 chain saw twice as many transactions and increased developer activity.
Bitcoin made up a third of both consumer and institutional transactions, with the price reaching an all-time high of $73,000 due to increased spot exchange-traded funds.
Coinbase reported Q1 earnings of $1.6 billion in revenue and $1.18 billion in net income.
Coinbase's EBITDA was $1 billion with a minority stake in Circle's stablecoin USDC bringing in $56.1 million.
Consumer transaction revenue doubled to $935.2 million with a volume increase of over 93%.
Institutional trading saw significant growth with a revenue increase of 133% and a volume increase of over double.
Coinbase Q1 Earnings Surge: $1.18B Net Income, Bitcoin Transactions Up 93%, Ethereum on Base Brings in $56.1M

Coinbase, the largest US cryptocurrency exchange, reported first-quarter earnings that surpassed expectations with a revenue of $1.6 billion and net income of $1.18 billion ($4.40 per share). The impressive results were driven by a surge in transactions due to the wider crypto market's upswing and favorable changes to crypto accounting rules.

Consumer transaction revenue doubled from the previous quarter, reaching $935.2 million, and volume was up over 93%, to $56 billion. Institutional trading also saw significant growth, with revenue increasing by 133% from the previous quarter and more than doubling in volume to $256 billion.

Bitcoin made up a third of both consumer and institutional transactions during this period. The price of Bitcoin increased by 57%, reaching an all-time high of $73,000 due to over $50 billion entering spot exchange-traded funds approved on Jan. 11 by the Securities and Exchange Commission (SEC).

Coinbase's EBITDA was $1 billion, a significant increase from the previous year. The company also announced a minority stake in Circle, the issuer of stablecoin USDC, which grew by 30% in market capitalization during Q1.

Base, Coinbase's Ethereum layer-2 chain brought in $56.1 million with twice as many transactions as Ethereum and developer activity up by 800%. The company also launched its own stablecoin USDC on Base, which has seen increased usage since its launch.

Despite these strong earnings, Coinbase's transaction expenses grew by 73%, to $217 million. Looking forward to Q2, the company estimates its overall expenses to be as high as $890 million due primarily to elevated expenses associated with higher trading volumes and customer support and infrastructure costs.

The crypto market has shown signs of volatility in recent weeks, which could impact Coinbase's earnings in the coming quarters. However, the company remains optimistic about its future growth prospects as it continues to expand its offerings and capitalize on the growing interest in cryptocurrencies.


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Confidence

91%

Doubts
  • Are there any potential regulatory issues that could impact Coinbase's earnings in the future?
  • Is the growth in institutional trading sustainable?

Sources

100%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Coinbase revenue soars by 72% to $1.6 billion, smashing analysts’ predictions

Fortune Media Inc. Thursday, 02 May 2024 00:00
  • Unique Points
    • Coinbase reported first-quarter revenue of $1.6 billion, a 72% increase quarter on quarter.
    • Net income for Coinbase was $1.18 billion (or $4.40 per share).
    • Consumer transaction revenue doubled from the previous quarter to $935.2 million.
    • Volume was up over 93%, to $56 billion.
    • Institutional trading saw even greater increases, with revenue up 133% from the previous quarter, to $85.4 million, and more than doubling in volume to $256 billion.
    • Bitcoin made up a third of both consumer and institutional transactions.
    • MSNBC reported that figures beat analysts’ predictions of $1.34 billion in revenue and net income of $1.09 per share.
    • Coinbase’s EBITDA was $1 billion, greater than all of last year.
    • ,The company reached all-time highs on Coinbase Prime and USDC market capitalization increased.
    • ,Base, the company’s Ethereum layer-2 chain brought in $56.1 million with twice as many transactions as Ethereum and developer activity up by 800%.
    • Coinbase announced a minority stake in Circle, the issuer of stablecoin USDC which grew by 30% in market capitalization during Q1.
    • The price of Bitcoin increased by 57%, reaching an all-time high of $73,000 due to more than $50 billion entering spot exchange-traded funds approved on Jan. 11 by the SEC.
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (100%)
    None Found At Time Of Publication
  • Fallacies (100%)
    None Found At Time Of Publication
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (0%)
    None Found At Time Of Publication

92%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Coinbase reports first-quarter revenue beat after bitcoin rally leads to surge in profit

CNBC News MacKenzie Sigalos Thursday, 02 May 2024 20:07
  • Unique Points
    • Multiple insiders at Coinbase, including four members of the C-suite, collectively sold $383 million of shares during Q1 2023.
    • Co-founder and board member Fred Ehrsam netted $129 million from insider selling.
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (80%)
    The article provides detailed financial information about Coinbase's first-quarter earnings report and discloses sources. However, the author makes editorializing statements that could be considered deceptive by omitting important context. For example, when discussing insider selling at Coinbase, the author fails to mention that insiders sold shares before the earnings report was released and before the stock price had significantly increased. This could give readers a misleading impression about the timing of these sales.
    • During the first quarter, bitcoin hit a new all-time high above $73,000 in March, and ethereum, the second-biggest digital asset, underwent its first major upgrade in over a year.
    • The industry has also seen an influx of institutional investors since the Securities and Exchange Commission approved a raft of new U.S. spot bitcoin exchange-traded funds.
  • Fallacies (95%)
    The article contains some instances of Inflammatory Rhetoric and an Appeal to Authority. However, these do not significantly impact the overall content of the article. The author provides clear and factual information about Coinbase's financial performance in Q1 2024, including revenue beats and net income growth. There are no formal logical fallacies present in the text.
    • ][The price of Bitcoin peaked as the pace of inflows moderated, and has been drifting modestly lower since mid-March][/], This is an example of Inflammatory Rhetoric as it implies a negative outcome for Bitcoin's price based on the moderation in inflows. However, it does not directly affect the logical validity of the article.
    • [Raymond James analysts wrote in a note this week.]
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication

81%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Coinbase first quarter profits surged above $1 billion on ETF frenzy

Yahoo Finance David Hollerith Friday, 03 May 2024 10:20
  • Unique Points
    • Coinbase reported net income of $1.17 billion in Q1 2024, the highest mark in nine quarters.
    • Digital coin trading surged due to new bitcoin ETFs launching in January.
  • Accuracy
    • Net revenue rose by 115% compared to the year-ago period.
    • Global crypto trading volume reached its highest level since 2021, increasing by 68% from a year ago.
    • Transaction revenue reached $1.07 billion, nearly three times what was earned in trading fees in Q1 2023.
  • Deception (30%)
    The article does not heavily skew towards one side or omit important details, but it does make some misleading statements. It attributes the increase in Coinbase's profits to the launch of new bitcoin ETFs without mentioning that these ETFs are based on futures contracts and not on actual bitcoins. This can lead readers to believe that investing in these ETFs is equivalent to investing in bitcoin, which is not entirely accurate. Additionally, the article does not disclose sources for some of the information presented.
    • The boost in this year's first quarter came from a revival in digital coin trading due largely to the launch of a series of new bitcoin ETFs in January.
  • Fallacies (90%)
    The article contains an appeal to authority when it mentions the launch of a series of new bitcoin ETFs in January and how they attracted a lot of new money, potentially widening the mainstream appeal of digital assets. This is not a fallacy on its own but can be used to support an argument. However, it does not detract significantly from the overall quality or accuracy of the article.
    • The launch of a series of new bitcoin ETFs in January attracted a lot of new money, potentially widening the mainstream appeal of digital assets.
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication

94%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Coinbase’s (COIN) Earnings Recovery at Risk of Being Obscured by Crypto Retreat

Bloomberg News Now Olga Kharif Friday, 03 May 2024 10:20
  • Unique Points
    • Coinbase is the largest US digital-asset trading platform.
    • Introduce of US spot Bitcoin ETFs drove demand.
  • Accuracy
    • Coinbase is forecast to have swung back to a profit from a loss in the year-earlier period.
    • The price of Bitcoin increased by 57%, reaching an all-time high of $73,000.
    • Bitcoin made up a third of both consumer and institutional transactions.
  • Deception (90%)
    The author expresses concern that a further retreat by Bitcoin will curb demand from individual investors at Coinbase. This is an example of selective reporting as the author only reports details that support her position and ignores the potential positive impact on institutional investors or other sources of revenue for Coinbase.
    • With the euphoria around the dominant cryptocurrency showing signs of waning in April, analysts are becoming concerned that a further retreat by the notoriously volatile token will curb demand from one of Coinbase’s biggest customers - individual investors.
  • Fallacies (100%)
    None Found At Time Of Publication
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication

100%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Coinbase revenue soars by 72% to $1.6 billion, smashing analysts’ predictions

Fortune Media Inc. Thursday, 02 May 2024 00:00
  • Unique Points
    • Coinbase announced a minority stake in Circle, the issuer of stablecoin USDC which grew by 30% in market capitalization during Q1.
    • ,Base, the company’s Ethereum layer-2 chain brought in $56.1 million with twice as many transactions as Ethereum and developer activity up by 800%.
    • Coinbase reported first-quarter revenue of $1.6 billion, a 72% increase quarter on quarter.
    • Net income for Coinbase was $1.18 billion (or $4.40 per share).
    • Institutional trading saw even greater increases, with revenue up 133% from the previous quarter, to $85.4 million, and more than doubling in volume to $256 billion.
    • Bitcoin made up a third of both consumer and institutional transactions.
    • ,The price of Bitcoin increased by 57%, reaching an all-time high of $73,000 due to more than $50 billion entering spot exchange-traded funds approved on Jan. 11 by the SEC.
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (100%)
    None Found At Time Of Publication
  • Fallacies (100%)
    None Found At Time Of Publication
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (0%)
    None Found At Time Of Publication