Coinbase shares dropped as second-quarter revenue missed estimates. Net income rose to $1.43 billion, with earnings benefiting from investments totaling $1.5 billion. Adjusted earnings per share were $1.96, exceeding expectations. Revenue slightly increased to $1.5 billion, falling short of estimates. Shares fell 6% in after-hours trading.

Retail trading volume grew 16% to $43 billion, below expectations. Subscriptions and services rose 9% to $655.8 million, missing projections. Revenue from stablecoins reached $332.5 million, a 38% increase from last year. Interest in stablecoins surged after Circle’s successful IPO, benefiting Coinbase’s revenue-sharing agreement.

Coinbase is expanding consumer engagement with new products and services, targeting U.S. users initially. The company plans to offer tokenized real-world assets, derivatives, prediction markets, and early-stage token sales within the app. Despite the revenue miss, Coinbase shares are up over 50% year-to-date, outperforming the S&P 500.

Read more at CNBC: Coinbase (COIN) earnings – Q2 2025