On Wednesday Apr 14, 2021 Coinbase Global Inc., became the first major cryptocurrency company to be publicly traded on the Nasdaq. Coinbase (COIN) is a provider of end-to-end financial infrastructure and technology for the crypto-economy. It generates substantially all its net revenue from transaction fees from trades that occur on its platform. The cryptocurrency exchange’s debut was hailed as a “watershed” moment for crypto, after years of skepticism from Wall Street giants and global regulators.
Coinbase published its Q1 2021 earnings today, which showed that the exchange hit the targets it set in its estimated results this March. In Q1, Coinbase reported earnings per share of $3.05, It also brought in $1.80 billion of revenue, up from $585 million in the fourth quarter of 2020 and $191 million a year ago. According to its investor letter, Coinbase saw strong results thanks to its public debut and the ongoing growth of the crypto industry.
Coinbase also plans to add new assets like Dogecoin due to the crypto’s popularity. Some analysts believe that Coinbase may be losing customers to Robinhood, in particular, which offers Dogecoin trading whereas Coinbase does not. The enormous volumes of that asset have helped temporarily crash the Robinhood platform over the past few months.
“Our competitors are supporting certain crypto assets that are experiencing large trading volume and growth in market capitalization that we do not currently support, as well as offering new products and services that we do not offer,” Coinbase said.
