Coinbase News: Q4 2025 Loss Hits $667M as Crypto Slump Hurts Trading

Key Insights

• Coinbase Q4 2025 loss of $667 million highlights crypto volatility and declining trading activity.
• Despite setbacks, full‑year trading volume surged 156%, doubling market share and strengthening the diversification strategy.
• Looking ahead, Coinbase plans to expand stablecoins, payments, and Base adoption, supported by $2B buyback.

Coinbase news has drawn attention after the company reported a large loss in the fourth quarter of 2025. The crypto exchange posted a net loss of $667 million, compared to a profit of $1.3 billion a year earlier.

Falling token prices, lower trading volumes, and heavy unrealized losses on investments hurt results. Coinbase news also highlighted that despite short-term setbacks, the company remains focused on growth and diversification in 2026.

Coinbase News: Financial Results and Market Impact

Coinbase reported total revenue of $1.78 billion for Q4 2025, down 21.6% year-over-year and below analyst expectations. Transaction revenue, its main source of income from trading fees, fell to $983 million, a 6% decline from the previous quarter.

Subscription and services revenue dipped 3% sequentially to $727 million but continued to support diversification. Non-cash charges worsened the loss.

Source: X

Coinbase recorded $718 million in unrealized losses on its crypto portfolio and a $395 million impairment on strategic investments. This includes its stake in Circle.

On an adjusted basis, the company posted net income of $178 million and EBITDA of $566 million, showing operational resilience.

Adjusted earnings per share were $0.66, below consensus estimates, while GAAP earnings per share showed a loss of $2.49. Investor reaction was swift. Shares fell as much as 7.9% in after-hours trading on February 12, closing at $153.18, near two-year lows.

Year-to-date, the stock is down nearly 37%, reflecting broader sector challenges. This Coinbase news underlines how sensitive crypto exchanges remain to market downturns.

Full-Year Performance and Growth Strategy

Despite the quarterly setback, Coinbase reported strong full-year 2025 results. Trading volume surged to $5.234 trillion, up 156% from 2024. Market share doubled to 6.4% from 3.2% the prior year.

Subscription and services revenue for the year reached $2.828 billion, compared to $2.307 billion in 2024. Paid subscribers to Coinbase One climbed to nearly 1 million, up from 733,000 in 2024.

The company now has 12 products generating over $100 million in annualized revenue, reducing reliance on volatile trading fees.

This diversification is a key part of its long-term strategy. Coinbase news emphasized that the company is building a foundation for growth even in a cooling crypto environment.

Executives remain optimistic. CEO Brian Armstrong noted that Bitcoin remains the best-performing asset class of the past decade.

He also stressed that revenue is becoming less correlated to crypto price swings. CFO Alesia Haas pointed to strong cost controls and product innovation as tools to navigate cycles.

Outlook for 2026

Looking ahead, Coinbase plans to expand its “Everything Exchange” vision. Coinbase set clear priorities for 2026. It will scale stablecoins and build a payments infrastructure. It will also accelerate on‑chain adoption through its Base layer‑2 network, which now operates in more than 140 countries.

The company also announced a $2 billion stock buyback program to return value to shareholders. Analysts remain divided. Some downgraded the stock due to near-term crypto softness, while others praised market share gains and diversification.

Competitors like Robinhood also reported weaker crypto-related revenue, showing industry-wide challenges. The broader crypto market downturn in late 2025 played a central role in Coinbase’s results.

Total market capitalization dropped by $1.1 trillion, and that sharp decline directly reduced trading activity and investor confidence across the industry.

Bitcoin retreated from earlier highs, reducing exchange activity across the sector. Still, Coinbase news suggests the company is positioning itself to weather downturns and capture growth opportunities as the industry matures.

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