Coinbase announced robust financial results for the third quarter of 2025, exceeding Wall Street expectations with significant profit growth and increased transaction revenue despite a volatile cryptocurrency market.
The U.S.-based cryptocurrency exchange reported a total profit of $1.9 billion, surpassing analysts’ estimates of $1.8 billion. This figure represented a substantial 58% increase compared to $1.2 billion in the same period last year.
Net income reached $1.793 billion, marking a 26% rise from the previous quarter. The company posted a net profit of $433 million and an adjusted EBITDA of $801 million.
Transaction revenues, the primary driver of Coinbase’s business, surged to $1 billion for the quarter, up from $365 million a year earlier.
Our Q3 2025 financial results are now live. pic.twitter.com/FyukJgfDsj
— Coinbase 🛡️ (@coinbase) November 2, 2023
Following the earnings report, Coinbase shares (COIN) on Nasdaq rose 3% in after-hours trading on Thursday. This came after the stock had closed the regular session down 5.77% to $328.5, aligning with a broader correction across the cryptocurrency market.
Key metrics for the quarter included a trading volume of $295 billion, fueled by a 37% rebound in retail trading activity. Assets held on the platform totaled $516 billion, while assets under custody reached $300 billion.
Revenue from stablecoins also showed strong performance, climbing to $355 million. This represented an almost 80% increase over the prior quarter, supported by a record $74 billion market capitalization for USDC and an average of $15 billion in USDC balances within Coinbase products.
Coinbase continued to advance its “Exchange of Everything” strategy, now covering 90% of the total cryptocurrency market capitalization.
A strategic move involved the acquisition of Deribit, a leading derivatives platform, finalized in August. This acquisition contributed $52 million to institutional revenues, which collectively doubled to $135 million.
Base, Coinbase’s Layer 2 blockchain network, achieved profitability and established itself as the top network in its category, driven by increased usage and rising Ethereum prices.
“The third quarter was a solid quarter for Coinbase,” the company stated in a letter to shareholders. “We drove strong financial results, stayed focused on shipping innovative products, and continued building the Exchange of Everything foundation.”
In a notable investment, Coinbase added $299 million worth of Bitcoin to its crypto investment portfolio through weekly purchases during the quarter. Its total digital asset holdings for investment stood at $2.6 billion at the close of the period.
Looking ahead, Coinbase guided for subscription revenues between $710 million and $790 million for the upcoming quarter. The company cautioned against extrapolating results due to the inherent volatility of the crypto market. It anticipates approximately $385 million in transaction revenues for October.
With $11.9 billion in resources and an expanded $2 billion share buyback program, Coinbase asserts its strong position to lead in payments and custody services.
“With regulatory clarity accelerating, crypto pathways will drive more of global GDP, and Coinbase is positioned to lead,” the company’s letter concluded.