Coinbase Revenue Soars 88% in Q4, Driven by Crypto’s Late-2024 Comeback

The crypto bull market of late 2024 propelled Coinbase
to a strong fourth quarter, with revenue reaching $2.27 billion. The company also experienced a solid growth in transaction
volumes, boosted in part by renewed optimism in the regulatory landscape
following Donald Trump’s election victory.

According to the company’s report, Coinbase’s Q4
revenue climbed 88% quarter-over-quarter, reaching $2.27 billion. Transaction
revenue hit $1.56 billion, a 194% jump compared to the previous year. Net income was $1.3 billion, while the adjusted
earnings were $1.3 billion.

Revenue and Trading Volumes

The total trading volume in the quarter surged to $439
billion, reflecting increased investor activity as crypto prices soared.
Meanwhile, the company’s subscription and services revenue reached $641
million, benefiting from higher crypto asset prices and the growing adoption of
services like staking and Coinbase One.

Beyond trading, Coinbase is focusing on expanding
crypto’s real-world utility. The company has been strengthening its
institutional adoption and international presence while developing new products
to drive onchain finance.

Its layer-2 platform, Base, has seen rapid growth,
enabling developers to create new financial applications. Additionally, the
company is prioritizing stablecoin adoption to facilitate seamless crypto
payments for businesses and consumers.

Our Q4 and FY 2024 financial results are now live. pic.twitter.com/R5LuW7pwI9

— Coinbase 🛡️ (@coinbase) February 13, 2025

Currently, Coinbase is advocating for clearer
regulations in the US and internationally. Progress has been made on securing
key licenses globally, while the U.S. is seeing growing momentum for
legislation on stablecoins and market structure.

The company also scored a legal victory in its ongoing
dispute with the SEC, with a court granting its request for an interlocutory
appeal in January 2025.

Q1 2025 Outlook

As of mid-February, Coinbase has already generated
approximately $750 million in Q1 transaction revenue. The company expects
subscription and services revenue to fall between $685 million and $765
million.

Meanwhile, transaction expenses are projected to
remain in the mid-to-high teens as a percentage of net revenue, while operating
expenses, including technology, development, and marketing, are expected to
rise due to increased trading volumes and expansion efforts.

Following the positive results, Coinbase stock saw
modest gains in after-hours trading following the earnings report but had
already climbed 8.5% earlier in the day after Robinhood also reported strong
crypto-related earnings.

This article was written by Jared Kirui at www.financemagnates.com.