Key Highlights

  • Net Revenue was $1,160.5 million in the third quarter, down from $1,762.9 million a year earlier.
  • Net income came to $718.7 million, or $2.51 per diluted share, versus $432.6 million, or $1.50 per diluted share.
  • Adjusted EBITDA stood at $332.9 million, compared with $800.7 million in the prior year quarter.
  • Transaction revenue slid 44% to $590.2 million, while subscription and services revenue dropped 20% to $570.2 million.
  • Cash, cash equivalents and marketable investments totaled $8.8 billion at September 30, 2026.

Net income rises even as revenue shrinks

Coinbase Global (NASDAQ:COIN) runs a crypto trading and custody platform for retail and institutional customers. It filed its Quarterly Report for the period ended September 30, 2026 on October 29, 2026. Net revenue came to $1,160.5 million, versus $1,762.9 million a year earlier, a decline of about 34% on a calculated basis.

Even so, Net Income climbed to $718.7 million from $432.6 million, equal to $2.51 per diluted share against $1.50.

Investment gains explain the Earnings gap

The company booked a $715.0 million net gain on crypto Assets held for Investment during the quarter, compared with a $423.9 million gain in the prior year period. The filing attributes the change to Fair Value remeasurement, mainly of Bitcoin and Ethereum.

Other income was also positive at $66.7 million. The year-earlier quarter instead carried a $380.5 million expense, tied largely to remeasuring an Equity investment. The provision for income taxes increased to $105.2 million from $69.6 million.

Adjusted EBITDA falls about 58%

Adjusted EBITDA, which excludes items such as gains on investment crypto, came to $332.9 million against $800.7 million, a drop of about 58% on a calculated basis.

Assets on platform stood at $376.6 billion versus $515.9 billion a year ago, mainly due to lower crypto prices. Monthly transacting users were 7.4 million, down from 9.3 million.

Trading volumes fall, while Stablecoin and Derivatives hold up better

Transaction revenue declined 44% to $590.2 million. Consumer net transaction revenue fell 47% to $450.1 million on a 59% drop in consumer spot trading volume, while institutional revenue slid 32% to $91.7 million. Prediction markets and derivatives growth offset part of the decline.

Subscription and services revenue was $570.2 million, down 20%. Stablecoin revenue eased 5% to $306.9 million, as higher average USDC balances added $84.6 million but lower interest rates removed $52.8 million. Blockchain rewards fell 54% to $85.7 million, mostly on lower Solana and Ethereum prices.

Expenses, cash and Capital returns

Transaction expense dropped 23% to $194.5 million, and general and administrative expense fell 24% to $318.9 million.

Cash, cash equivalents and marketable investments totaled $8.8 billion. Coinbase repaid its $1.3 billion of 2026 convertible notes at maturity, leaving $6.0 billion of Debt due between 2028 and 2032. About $2.0 billion remained under the $4.0 billion repurchase program as of September 30, 2026, after $2.0 billion had been used to buy 10,169,729 Class A shares. Technology, general and administrative, and sales and Marketing expenses, excluding intangible amortization, are expected to be slightly lower in 2026 than in 2025.

What to watch next

The quarter shows how much reported profit can hinge on asset remeasurement rather than trading activity. Readers will likely watch whether spot volumes and users recover, how USDC balances respond to interest rates, and whether prediction markets and derivatives grow enough to lift Adjusted EBITDA from $332.9 million.