Coinbase Global Inc Earnings - Q3 2025 Analysis & Highlights
Coinbase's Q3 2025 earnings call highlighted strong financial performance driven by product execution, expansion of the "Everything Exchange" vision, and growth in stablecoin adoption. Key themes included revenue growth, adjusted EBITDA, progress in spot and derivatives trading, stablecoin initiatives, and future growth strategies.
Key financial results:
Total revenue was $1.9 billion.
Adjusted EBITDA was $801 million.
Net income of $433 million.
Adjusted net income was $421 million.
Ended Q3 with $11.9 billion in USD resources and another $2.6 billion in long-term crypto investments.
October transaction revenue is expected to be approximately $385 million.
Subscription and services revenue is expected to be in the range of $710 million to $790 million.
Business segment results:
Consumer spot trading volume grew 37% to $59 billion.
Consumer transaction revenue grew 30% to $844 million.
Total institutional transaction revenue was $135 million, up 122%, primarily driven by derivatives.
Deribit contributed $52 million to revenue.
S&S revenue grew 14% quarter-over-quarter to $747 million.
Ended the third quarter with $516 billion in assets on platform.
Capital allocation:
Not explicitly discussed; however, the company ended Q3 with $11.9 billion in USD resources and another $2.6 billion in long-term crypto investments.
Industry trends and dynamics:
Crypto rails will power more of financial services over time because they're faster, cheaper, and more global.
Derivatives account for about 80% of all crypto trading volume.
The majority of global payments will shift to stablecoins over time.
Stablecoin market cap hit $300 billion.
Competitive landscape:
Coinbase is the most trusted brand in crypto with deep technical expertise.
Coinbase is well-positioned to be the partner of choice for companies and financial institutions.
USDC continues to be the top-performing major stablecoin in the crypto ecosystem, growing at more than 2x as much as the largest competitor.
Macroeconomic environment:
Regulatory clarity is accelerating.
Growth opportunities and strategies:
Expanding spot coverage by adding decentralized exchange (DEX) integrations, expanding access to tradable assets from about 300 to over 40,000 assets in the US.
Growing derivatives offering, being the first to launch CFTC-regulated, 24/7, perpetual-style futures in the US.
Accelerating stablecoin adoption by improving payments.
Building the Everything Exchange, a one-stop shop to trade every asset class.
Focus on automation to improve customer support and compliance investigations.
Coinbase has built out infrastructure that can power other companies, called Coinbase Developer Platform or CDP.
Financial Guidance and Outlook:
Expects October transaction revenue to be approximately $385 million.
Expects subscription and services revenue to be in the range of $710 million to $790 million.
Expense range is higher quarter-over-quarter for tech and dev and G&A, in the range of $925 million to $975 million.
Sales and marketing is expected to be in the range of $215 million to $315 million.
Anticipate that the sequential rate of operating expense growth will slow as compared to the Q4 rate, looking to early 2026.
Acquisitions and Integrations:
Closed the Deribit acquisition, bringing the number one crypto options venue into Coinbase.
Closed Deribit on August 14, which contributed $52 million to revenue.
Acquisition of Echo to make it easy for anyone to raise money.
Base Network:
Exploring a Base network token to help bring 1 billion people on chain.
Monetization of the Base network through sequencer fees and indirectly through the growth of the overall ecosystem.
