Coinbase Posts Bullish Returns With $3.1 Billion Revenue in 2023, Stock Jumps 11%

By: Eliza Bennet

US cryptocurrency exchange Coinbase displayed encouraging results in its financial report for the fourth quarter and the full year of 2023. For Q4, the company reported a net income of $273 million, an adjusted EBITDA of $305 million, and total revenue of $954 million – a remarkable 41% increase quarter-over-quarter.

The full financial year witnessed a total revenue of $3.1 billion, which marks a slight 3% decline year-over-year. However, subscription and services revenue soared by 78% Y/Y to hit $1.4 billion.

The balance sheet of the company also indicates positive trends, with liabilities reduced to 12% and total US dollar holdings bolstered to $5.7 billion. This sum includes $5.1 billion in cash or cash equivalent and $576 million in USD Coin (USDC). Furthermore, $450 million worth of crypto assets were reported to be held by Coinbase, with the company's total assets estimated to be around $207 billion.

Apart from financial performance, Coinbase also highlighted its growing global influence, underlining the onboarding of over 100 institutions onto its international platform and stating that 80% of crypto trading happens outside the US. Additionally, the company claimed to have included one-third of the top 100 hedge funds by AUM as of Q4 2023. Coinbae also played a custodial role in 8 of 11 spot Bitcoin ETFs.