Coinbase falls short on revenue as trading volume drops 30 percent

US cryptocurrency exchange Coinbase on Tuesday reported a nearly 30 per cent decline in third-quarter trading volume on a sequential basis, fueled by lower volatility and a drop in the prices of bitcoin and other cryptocurrencies.

Trading volume fell from $462 billion (approximately Rs 34,44,572 crore) to $327 billion (approximately Rs 24,38,041 crore) in the second quarter. Of this, bitcoin accounts for 19 per cent, down from 24 per cent in the previous quarter.

After the bell rang, the company’s shares fell 13 per cent in trading.

Total revenue fell to $1.31 billion (about Rs 9,767 crore) from $2.23 billion (around Rs 16,626 crore) in the previous quarter, missing estimates of $1.57 billion (around Rs 11,705 crore).

Crypto exchanges have benefited from the mainstreaming of digital assets, with businesses around the world investing heavily in growing their crypto infrastructure.

However, calls for greater monitoring of crypto trading and products triggered a punitive slide in bitcoin prices earlier this year. As of 1:14 pm on November 11, the price of bitcoin in India is Rs. 52.77 lakhs.

Net income attributable to common shareholders of $405.34 million (approximately Rs.3,022 crore), or $1.62 (approximately Rs.120) per share. Analysts were expecting a profit of $1.57 (about Rs.117) per share, according to IBES data from Refinitiv.

© Thomson Reuters 2021


Interested in cryptocurrency? We discuss all things Orbital with WazirX CEO Nischal Shetty and WeekendInvesting Founder Alok Jain on the Gadgets 360 podcast. Orbital is available on Apple Podcasts, Google Podcasts, Spotify, Amazon Music and wherever you get your podcasts.

Cryptocurrency is an unregulated digital currency, is not legal tender and is subject to market risks. The information in this article is not intended to be financial advice, trading advice or any other advice or a recommendation of any kind offered or endorsed by NDTV. NDTV shall not be liable for any loss arising out of any investment based on any alleged recommendation, forecast or any other information contained in the article.

,

Leave a Reply

Your email address will not be published. Required fields are marked *