Coinbase posts $1.2B in net revenue in Q1, surpassing total 2023 revenues
Crypto exchange Coinbase reported a strong recovery in the first quarter of 2024, supported by market performance and the launch of Bitcoin exchange-traded funds (ETFs).
The exchange posted $1.6 billion in total revenue and $1.2 billion in net income for the first quarter. Coinbase's adjusted EBITDA in 2023 stands at $977.5 million.
According to the earnings release, Coinbase's net income before tax was $737 million from unrealized gains on crypto assets. The organization It ended the quarter with $7.1 billion in capital, including $1.1 billion in net cash from the sale of the 2030 convertible notes.
Total liabilities increased from $200.7 million in the first quarter of 2023 to $339.9 million in 2024.
Revenue from consumer transactions increased $935 million, up 99 percent quarter over quarter. Transaction volume totaled $56 billion, an increase of 93% in the quarter, surpassing the United States space market, which increased by 91% in the same period.
Institutional transactions generated $85 million in revenue for the quarter, a 133 percent increase over the quarter. According to the exchange, Coinbase Prime trading volume for institutional clients grew 105% to $256 billion, also outperforming the US spot market.
“Our institutional platform, Coinbase Prime, reached an all-time high in trading volume and the number of active customers in Q1. […] Bitcoin ETFs – with strong market conditions in Q1 – have opened up client participation in this more robust product mix. In fact, nearly 40% of institutional customers engaged with at least 3 products in Q1.
The exchange also saw a 64% jump in revenue for security services, reaching $32 million in the first quarter, mainly from the value of crypto assets and Bitcoin ETFs. The exchange acts as a custodian for eight of the newly launched 11 BTC currencies. Assets under Coinbase's control closed the quarter at $171 billion.
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