The Zhitong Finance App learned that Coinbase (COIN.US) announced financial results for the third quarter of 2026 after the US stock market on October 29 (early morning of October 30, Beijing time). Total revenue of $1,216 billion was down about 35% year over year, falling short of the forecast of $1.23 billion. GAAP net profit of $719 million, diluted earnings of $2.51 per share, reversed previous consecutive losses — previously the market expected a net loss of approximately $35 million.
But the profits came almost entirely from unrealized gains of $7.15 billion in its crypto asset portfolio—Bitcoin's price rose by around 39% in the third quarter. Meanwhile, cryptocurrency volatility fell to a multi-year low, and the trading volume of the entire industry declined by about 10% month-on-month. Excluding this item, adjusted net profit was $78 million; adjusted EBITDA was $333 million, up 60% month-on-month, higher than market expectations of approximately $290 million, and positive for the 15th consecutive quarter. Operating profit for the quarter was $61.7 million, far lower than the $481 million in the same period last year.
The main business data is mixed. Trading revenue of $590 million was lower than the year-on-year (-44%), but higher than market expectations of about $527 million; individual investors' spot trading volume fell 59% year over year. Subscription and service revenue of $570 million, up 3% month-on-month, accounting for nearly half of revenue, including stablecoin revenue of $307 million — average USDC holdings within the platform reached a record high of $22 billion (+49% year over year). Adjusted EBITDA of $333 million, up 60% month-on-month, above expectations of approximately $290 million, and was positive for the 15th consecutive quarter. The company's cryptocurrency trading volume market share rose to 10.7%, rising for the fourth consecutive quarter.
The new business became the biggest highlight: it is predicted that the market's annual revenue will exceed 200 million US dollars, and daily trading users will increase by more than 60% month-on-month, making it one of the fastest growing products in history. CEO Armstrong said in an earnings statement that the business “is growing even during the off-season of sports”; CFO Alesia Haas said forecasting market revenue is less correlated with crypto fluctuations. The number of paid Coinbase One users rose 24% year over year.
In terms of guidance, the company expects Q4 subscription and service revenue of 550 million to $630 million; as of October 25, Q4 transaction revenue is approximately $165 million. The company also lowered the median value of the 2026 adjusted cost guidance by another $100 million to $4.15 billion to $4.3 billion. Furthermore, regulatory documents show that the 10b5-1 share sale plan of three executives, including CEO Armstrong, covers a total of about 13.6 million shares (about $2.2 billion).