Coinbase just dropped some impressive fourth-quarter numbers, boasting a revenue of $953.8 million—up a whopping 41% from the last quarter, blowing past analyst forecasts. This figure not only zoomed past the expected $826.1 million, as FactSet’s numbers showed, but also marked a solid 50% increase from the same timeframe last year.
The crypto giant highlighted its achievements for 2023 in an earnings recap, pointing to hitting financial targets, rolling out cool new products, beefing up its market standing, and pushing forward on creating a clearer regulatory path for crypto in the US.
It wasn’t just about revenue; Coinbase also turned the tables on its financial health with a net income of $273 million for the quarter, a stark turnaround from a $557 million loss year-over-year.
Investors reacted positively, pushing Coinbase’s stock up over 6% in after-hours trading to $177.44. Looking at the year-on-year picture, Coinbase’s shares have skyrocketed by more than 150%.
The bulk of this revenue success came from $529.3 million in transaction fees during the quarter, jumping from $288.6 million in the third quarter. This surge, an impressive 83% quarter-over-quarter, was fueled by increased volatility and rising crypto asset prices.
Coinbase attributed the volatility spike and revenue boost to the buzz around Bitcoin spot ETF approvals and a generally optimistic outlook for the macroeconomic scene in 2024.
