Key Highlights

  • Net Revenue was $1,160.5 million in the third quarter, down from $1,762.9 million a year earlier.
  • Net income was $718.7 million, or $2.51 per diluted share, versus $432.6 million, or $1.50 per diluted share.
  • Adjusted EBITDA was $332.9 million, compared with $800.7 million in the prior year quarter.
  • Transaction revenue fell 44% to $590.2 million, while subscription and services revenue fell 20% to $570.2 million.
  • Cash, cash equivalents and marketable investments totaled $8.8 billion at September 30, 2026.

Net income rises even as revenue shrinks

Coinbase Global (NASDAQ:COIN) operates a crypto trading and custody platform for consumers and institutions, and it filed its Quarterly Report for the period ended September 30, 2026 on October 29, 2026. Net revenue was $1,160.5 million, compared with $1,762.9 million a year earlier, a decline of about 34% on a calculated basis.

Net income still climbed to $718.7 million from $432.6 million, equal to $2.51 per diluted share against $1.50.

Investment gains explain the Earnings gap

The company recorded a $715.0 million net gain on crypto Assets held for Investment in the quarter, versus a $423.9 million gain in the prior year period. The filing attributes the change to Fair Value remeasurement, mainly of Bitcoin and Ethereum.

Other income was also positive at $66.7 million, whereas the year earlier quarter carried a $380.5 million expense tied largely to remeasuring an Equity investment. The provision for income taxes rose to $105.2 million from $69.6 million.

Adjusted EBITDA drops by more than half

Adjusted EBITDA, which excludes items such as gains on investment crypto, was $332.9 million against $800.7 million, a fall of about 58% on a calculated basis.

Assets on platform were $376.6 billion versus $515.9 billion a year ago, mainly on lower crypto prices. Monthly transacting users were 7.4 million, down from 9.3 million.

Trading volumes fall, Stablecoin and Derivatives hold up better

Transaction revenue declined 44% to $590.2 million. Consumer net transaction revenue fell 47% to $450.1 million on a 59% drop in consumer spot trading volume, while institutional fell 32% to $91.7 million. Prediction markets and derivatives growth offset part of the drop.

Subscription and services revenue was $570.2 million, down 20%. Stablecoin revenue slipped 5% to $306.9 million, as higher average USDC balances added $84.6 million but lower interest rates removed $52.8 million. Blockchain rewards fell 54% to $85.7 million, mostly on lower Solana and Ethereum prices.

Expenses, cash and Capital returns

Transaction expense dropped 23% to $194.5 million, and general and administrative expense fell 24% to $318.9 million.

Cash, cash equivalents and marketable investments totaled $8.8 billion. Coinbase repaid its $1.3 billion of 2026 convertible notes at maturity, leaving $6.0 billion of Debt due between 2028 and 2032. About $2.0 billion remained under the $4.0 billion repurchase program as of September 30, 2026, after $2.0 billion had been used to buy 10,169,729 Class A shares. Technology, general and administrative, and sales and Marketing expenses, excluding intangible amortization, are expected to be slightly lower in 2026 than in 2025.

What to watch next

The quarter shows how much reported profit can depend on asset remeasurement rather than on trading activity. Readers will likely watch whether spot volumes and users recover, how USDC balances respond to interest rates, and whether prediction markets and derivatives grow enough to lift Adjusted EBITDA from $332.9 million.