Coinbase, America’s largest crypto exchange, has beaten revenue expectations for the fourth quarter of 2022, but still saw a drop in transaction volume. Net sales for the exchange in the fourth quarter were $605 million, which was about $16 million higher than analyst estimates.
Coinbase reported net sales of $605 million for the fourth quarter, with more than 110 million registered users. But despite a 12% decline in transaction volumes, the exchange compensated with services and subscriptions.
Coinbase and the SEC
Coinbase is currently facing the SEC, which is pushing for the end of retail staking services in the United States. In February, crypto exchange Kraken ended its strike services in the US in response to pressure from regulators.
However, Coinbase says it expects its own staking product not to be discontinued. In a letter, the exchange wrote:
“We remain committed to working with global regulators and policymakers to promote prudent regulation for this emerging asset class.
We have avoided offering highly leveraged products to consumers, which has not only protected consumers, but also helped us avoid credit risk. We do not trade against our clients as a market maker, and we do not issue exchange tokens. We believe we have not violated any securities laws.”
