Coinbase Q2 earnings miss Wall Street estimates

Coinbase Q2 earnings miss Wall Street estimates

Fri, July 31, 2026 at 2:23 AM GMT+3 2 min read

Coinbase Global (Nasdaq: COIN) reported second-quarter 2026 earnings on July 30, posting $1.22 billion in total revenue, below Wall Street expectations of roughly $1.29 billion to $1.31 billion.

The company also reported a GAAP net loss of $359.5 million, or $1.36 per diluted share.

Coinbase is the largest cryptocurrency exchange in the United States, offering trading in Bitcoin, Ethereum, and hundreds of other digital assets to retail and institutional investors.

It also operates Base, its Ethereum layer-2 blockchain, and plays a central role in distributing USDC, one of the world's largest stablecoins.

Related: Saylor sends a sharp message as Bitcoin's biggest bill stalls

Coming off a difficult Q1

The results extend a difficult stretch for Coinbase after a weak first quarter, when revenue fell 21% sequentially to $1.41 billion and the company posted a $394 million GAAP loss as crypto trading activity cooled.

Ahead of earnings, Barclays analyst Benjamin Budish estimated Coinbase would process roughly $152 billion in trading volume and generate adjusted EBITDA about 3% below consensus, citing weaker blockchain rewards and institutional trading, according to Coindesk report.

Coinbase reported $146.4 billion in crypto spot trading volume during the quarter. However, adjusted EBITDA came in at $207.8 million, while the company said it marked its 14th consecutive quarter of positive adjusted EBITDA despite softer market conditions.

The company said macro conditions weighed heavily on performance during the quarter. Total crypto market trading volume declined 15% quarter over quarter, while spot trading volume across the industry dropped 25%. Lower volatility also reduced trading activity as crypto asset volatility fell 14% from the previous quarter.

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While transaction revenue fell 21% quarter over quarter to $599 million, Coinbase's subscription and services business remained resilient, generating $555 million, or 48% of net revenue.

Stablecoin revenue reached $292 million, supported by a record $20 billion average USDC held in Coinbase products, although lower interest rates and reduced off-platform balances partially offset those gains.

Growth beyond trading

Coinbase's trailing 12-month crypto derivatives volume remained above $4.2 trillion, with the company reporting a record global derivatives market share despite an overall market decline.

Prediction markets also continued gaining traction. Coinbase said contracts and revenue more than doubled quarter over quarter, pushing the business above a $100 million annualized revenue run rate.

Sports remained the largest category, while new crypto binary markets tripled daily traders and quadrupled daily revenue by the end of the quarter compared with May averages.

Looking ahead, Coinbase expects third-quarter subscription and services revenue between $500 million and $580 million and reported approximately $130 million in transaction revenue through July 26, while cautioning investors against extrapolating those early-quarter results.

The COIN stock dropped more than 5% in afterhours to exchange hands at $155 following the earnings miss.

Related: Coinbase changes security rewards, blames AI

This story was originally published by TheStreet on Jul 30, 2026, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.