Earnings per share (EPS) for the fourth quarter of 2024 reached $4.68, significantly outperforming analyst expectations1. The company's transaction revenue, which forms the bulk of its income, soared 172% quarter-over-quarter to $1.6 billion2. Subscription and services revenue also saw substantial growth, increasing 70.7% year-over-year to $641.1 million, driven by higher interest income3. Coinbase achieved record-breaking adjusted EBITDA of $1.3 billion, while net income surged to $1.29 billion45.

The election of a pro-crypto President and Congress in Q4 2024 sparked a significant market rally, fueling Coinbase's exceptional performance. This political shift, particularly the Trump administration's commitment to making the U.S. the "crypto capital of the planet," dramatically influenced market sentiment and trading activity12. The post-election optimism led to:

• Increased crypto asset volatility

• Higher average crypto asset prices

• Enhanced trading volumes across both retail and institutional segments

These factors collectively contributed to Coinbase's revenue surge, with trading volume reaching $439 billion3. Consumer trading volume skyrocketed by 224% to $94 billion, while institutional trading volume saw a 176% increase to $345 billion34.

Coinbase's Q4 2024 results showcased significant platform growth, reflecting the broader crypto market surge. The company reported $404 billion in assets on the platform, indicating a substantial increase in user holdings1. This growth was accompanied by a rise in Monthly Transacting Users (MTUs), though specific figures were not disclosed. The platform's expansion was further evidenced by:

• A record-breaking quarterly trading volume of $439 billion1

• Increased institutional engagement, with institutional trading volume rising 176% to $345 billion2

• Consumer trading volume skyrocketing by 224% to $94 billion2

These metrics underscore Coinbase's strengthened position in the crypto ecosystem, driven by the post-election rally and growing mainstream adoption of digital assets34.

Coinbase's Q1 2025 revenue projections reflect continued momentum from its strong Q4 2024 performance. The company anticipates subscription and services revenue to range between $685 million and $765 million, driven primarily by three key factors12:

• Stablecoin revenue growth, with USDC market cap and assets in Coinbase's product suite reaching all-time highs in February

• Expansion of the Coinbase One subscriber base

• Higher average crypto asset prices in Q1

Transaction revenue has already reached approximately $750 million by February 11, indicating robust trading activity early in the quarter34. Coinbase expects transaction expenses to remain in the mid-to-high teens as a percentage of net revenue, primarily due to rebates offered to institutional customers providing liquidity1. The company's focus on diversifying revenue streams and capitalizing on the growing USDC ecosystem positions it for potential continued growth in the evolving crypto landscape52.