Coinbase Q1 revenue drops 31% to $1.41B, posts $394M loss

Coinbase, the San Francisco–based crypto exchange, reported first-quarter 2026 revenue of $1.41 billion, a 31% decline from a year earlier, and a net loss of $394.1 million, or $1.49 per share. The results reflect lower trading activity across its platform.

Transaction revenue totaled $755.8 million and subscription and services revenue totaled $583.5 million, both below sell-side projections. Coinbase attributed the shortfall to a broader downturn in crypto markets: total crypto market capitalization fell more than 20% during the quarter, which reduced retail order flow and pressured trading revenue.

Transaction revenue declined 23% sequentially, compared with a 28% drop in industrywide crypto trading volume. Spot trading on Coinbase fell 37% during the quarter. Consumer transaction revenue was $567 million, while institutional transaction revenue fell 27% to $136 million.

The exchange recorded a $482.4 million unrealized loss on crypto held for investment. Coinbase reported adjusted EBITDA of $303.3 million, marking its 13th consecutive quarter of positive adjusted EBITDA, though that figure fell 46% from the prior quarter.

Subscription and services revenue made up a record 44% of net revenue. Stablecoin-related revenue contributed $305 million, supported by USDC reaching about $80 billion in market capitalization and average USDC held in Coinbase products rising to $19 billion, up 55% year-over-year.

Shares dropped to about $192.96 after the earnings release. Coinbase reported that its crypto trading market share reached an all-time high of 8.6% in the quarter.

For the second quarter, Coinbase guided subscription and services revenue between $565 million and $645 million. The outlook includes $50 million to $60 million in restructuring charges tied to a previously announced 14% workforce reduction.