Coinbase's revenue structure continued to diversify in the second quarter, predicting market revenue doubled, but its share price fell about 7% after hours

On July 31, after crypto exchange Coinbase announced its second-quarter earnings report, its share price fell by about 7% after hours. Although the company predicts rapid growth in its market business and hit a new high in the global crypto trading market share. The financial report shows that Coinbase predicts that the number of market contracts and related revenue will increase by 106% month-on-month in the second quarter, both doubling, and annualized revenue will exceed US$100 million. The company said that the launch of binary forecasting products at the end of the quarter increased the number of daily trading users to approximately three times that of May, and increased daily revenue to approximately four times. During the same period, Coinbase's global crypto trading market share rose to 10.3%, up from 9.1% in the previous quarter, achieving market share growth for the third consecutive quarter. Coinbase said its "Everything Exchange" strategy is driving the expansion of its business beyond traditional crypto transactions into areas such as prediction markets, tokenized stocks and derivatives. Currently, approximately 88% of the company's net income comes from businesses other than Bitcoin spot trading. In addition, the average USDC holdings on the platform reached a record US$20 billion, accounting for more than 30% of the total USDC in circulation; subscription and service revenue reached US$555 million, accounting for nearly half of net income. Coinbase achieved adjusted EBITDA profit for the 14th consecutive quarter. CEO Brian Armstrong said that Coinbase is no longer just betting on Bitcoin prices, but is accelerating its embrace of crypto technology in the financial services sector.