According to FactSet, the cryptocurrency exchange oinbase">Coinbase (COIN) announced Q1 revenue of $773 million, which was higher than Q4 revenue of $629 million and beyond analyst projections of $655 million. The firm reported an adjusted loss of $0.34 per share, narrowing from the adjusted loss of $2.45 per share in the fourth quarter and beating the analyst forecast of a loss of $1.45 per share.
Compared to expert projections of $147.7 million for the quarter, the trading volume actually came in at $145 billion. In the fourth quarter, there were about $146 billion worth of transactions.
In Thursday’s after-hours trading, shares of oinbase">Coinbase increased by approximately 8% to $53. With Bitcoin up around 74% year to date, shares have increased by about 40% this year.
In a statement released by oinbase">Coinbase CEO Brian Armstrong stated, “This is the fourth crypto cycle that oinbase">Coinbase has been through, and we’ve emerged stronger after each one.” We changed the business to run more effectively in this downturn, which resulted in a positive adjusted Ebitda in the first quarter.
Since the company’s international expansion may result in higher fees, investor interest in oinbase">Coinbase’s most recent launch of a derivatives exchange in Bermuda has increased. This move complies with the more stringent regulations set up for Bitcoin firms in the United States.
According to Anil Gupta, chief investment officer of oinbase">Coinbase, “The objective here is to get into the derivatives market in a more pronounced way and better serve the international customer base.” We don’t anticipate a significant financial contribution in the near future because it is still very early in the process, but we are really optimistic about it for the upcoming quarters.
oinbase">Coinbase is among the most vocal proponents of clearer regulation in the nation among U.S.-based cryptocurrency businesses. Armstrong declared that policy will be his primary concern in 2023 during an earnings call in March, adding that he would be spending more time in Washington, D.C.
According to a letter from oinbase">Coinbase to shareholders, “America is in a position to lead in crypto and help update the global financial system.” To ensure that this cutting-edge technology thrives and that America continues to be a global leader, we need crypto-specific regulations rather than regulation by enforcement. The company’s U.S.-based operations continue to be its primary business, oinbase">Coinbase stated, despite its intense focus on foreign development, particularly in Canada, Brazil, and Singapore.
On Thursday at 5:30 PM Eastern Time, oinbase">Coinbase will have a conference call with analysts.
