Coinbase shares dropped 2% to $207.50 after reporting third-quarter net revenue of $1.1 billion, missing estimates by 3% and consensus forecasts by 5%. The decline was attributed to lower transaction revenues and reduced subscription and services revenues. Despite the revenue miss, reduced operating expenses contributed to a favorable adjusted EBITDA. Retail trading volumes exceeded expectations, but this was offset by a decrease in the retail fee rate. Analysts indicated that the upcoming U.S. presidential election could serve as a significant catalyst for both Coinbase and the broader crypto market, potentially leading to clearer regulatory frameworks. Institutional interest in Coinbase is on the rise, as the company becomes a key player in equity indices. Analysts from JMP and Canaccord expressed optimistic forecasts, highlighting the importance of upcoming legislative discussions on regulation, which could positively impact Coinbase's operations and stock price.

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