The crypto exchange reports record profits in the second quarter.
Coinbase released a report on financial and operational indicators for the second quarter. The cryptocurrency exchange made a profit of just over $ 1.6 billion, which is almost twice as much as in the first quarter.
Key financial highlights of Coinbase for the second quarter. Source: Coinbase report.
The company also reported an increase in user activity, noting that in retail, the number of users who made transactions (MTU) rose to 8.8 million, up 44% from the first quarter. The total user base has grown to 68 million.
In the report, Coinbase highlighted non-transactional earnings separately, indicating its intention to diversify. The company said subscriptions and other services generated more than $ 100 million in revenue.
An important development was that the Ethereum trading volume on the platform exceeded the bitcoin trading volume for the first time – 26% of the total volume versus 24% of the bitcoin trading volume.
In its Q2 letter to shareholders, Coinbase noted that it now has over 9,000 institutional clients and indicated that Sotheby’s completed its first cryptocurrency transaction in Q2.
Coinbase acknowledged that market volatility had impacted second-quarter earnings growth and warned that it is unlikely to be able to replicate those numbers.
In Q2, Coinbase “added more assets to trade than in all of 2020,” and now supports 83 assets to trade and 142 assets to hold. At the same time, income from custody operations increased by 35%, compared to the first quarter, and amounted to $ 35 million.