{"id":74450,"date":"2023-02-22T09:16:10","date_gmt":"2023-02-22T07:16:10","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=74450"},"modified":"2025-09-09T20:12:11","modified_gmt":"2025-09-09T17:12:11","slug":"coinbase-reports-557-million-loss-in-q4","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/coinbase-reports-557-million-loss-in-q4\/","title":{"rendered":"Coinbase reports $557 million loss in Q4"},"content":{"rendered":"<p>Net loss <a href=\\\"https:\/\/forklog.news\/cryptorium\/chto-takoe-coinbase\/\\\">Coinbase<\/a> in Q4 2022 amounted to $557 million or $2.46 per share, which was above market expectations ($2.52). In after-hours trading, the shares demonstrated high volatility.<\/p>\n<blockquote class=\\\"twitter-tweet\\\">\n<p dir=\\\"ltr\\\" lang=\\\"en\\\">Our Q4 and FY\u201922 financial results are in.<\/p>\n<p>Our letter to shareholders can be found on the Investor Relations website at <a href=\\\"https:\/\/t.co\/8ovHEtPRgf\\\">https:\/\/t.co\/8ovHEtPRgf<\/a><\/p>\n<p>\u2014 Coinbase (@coinbase) <a href=\\\"https:\/\/twitter.com\/coinbase\/status\/1628147717233954816?ref_src=twsrc%5Etfw\\\">February 21, 2023<\/a><\/p><\/blockquote>\n<p> <script async=\\\"\\\" src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>Net revenue stood at $604.9 million. The 5% increase versus July\u2013September was driven by a 34% rise in revenues consolidated in the subscriptions and services category.<\/p>\n<p>In the latest quarter, about 22% of receipts came from the service<a href=\"https:\/\/u1f987.com\/en\/news\/what-is-staking-and-how-to-make-money-from-it\"> staking<\/a> ($62.4 million). For the year, the company earned $275.5 million from this.<\/p>\n<p>Trading commissions in Q4 declined 12% \u2014 from $365.9 million to $322.1 million. For 2022 the metric fell by a factor of 2.9, to $2.36 billion.<\/p>\n<p>At an analysts\u2019 conference, the company\u2019s vice president of investor relations Anil Gupta attributed the deterioration to retail investors\u2019 HODLing and a decline in volatility.<\/p>\n<figure class=\\\"wp-block-image\\\"><img decoding=\\\"async\\\" src=\\\"https:\/\/lh3.googleusercontent.com\/DrJWrUg05BLC5WRXLlFuDZAiGZr47w1lwXco3X3rn_tdoRkFQt8iK49fq-bX0Us3Lbcye1iXf6GT2rjQYBTFn1b_ICqB-txorX-Iod2Y9NXqIbp7jrShTQ9GRfjmReMU6LBSLkCn-AwJ0va349D2dbs\\\" alt=\\\"Coinbase reports quarterly results\\\"\/><figcaption>Data: <a href=\\\"https:\/\/investor.coinbase.com\/home\/default.aspx\\\">Coinbase<\/a>.<\/figcaption><\/figure>\n<p>As of the end of December, the value of digital assets on the platform stood at $80 billion (vs $101 billion in the prior quarter).<\/p>\n<p>In its shareholder letter, Coinbase said it met its adjusted guidance for 2022 across all metrics, including the year\u2019s average monthly active users (8.8 million).<\/p>\n<blockquote class=\\\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\\\">\n<p>We are entering 2023 with a focus on improving efficiency [\u2026]. We have limited ability to forecast transaction revenues, which correlate with market capitalization and volatility of digital assets,<\/p>\n<p> the document said.<\/p><\/blockquote>\n<p>The company urged not to extrapolate January\u2019s $120 million in trading commissions to February\u2013March due to the unpredictability of market conditions.<\/p>\n<p>Management expects revenue in the subscriptions and services category to rise\u2014from $282.8 million to $300\u2013350 million.<\/p>\n<p>In terms of staffing, Coinbase plans not to significantly increase the workforce from the current 3,650 employees.<\/p>\n<p>On regulatory regime, the company noted favourable positions to capitalise on the transitional period.<\/p>\n<p>Earlier, Coinbase CEO Brian Armstrong said that staking services offered by the trading platform cannot be considered securities. In his words, the company<a href=\"https:\/\/u1f987.com\/en\/news\/coinbase-ceo-says-staking-program-will-be-defended-in-court\"> is prepared to defend<\/a> this assertion in court. The warning relates to charges by the <span data-descr=\\\"U.S. Securities and Exchange Commission\\\" class=\\\"old_tooltip\\\">SEC<\/span>, <a href=\"https:\/\/u1f987.com\/en\/news\/kraken-to-pay-30-million-to-settle-sec-charges\">brought against<\/a> Kraken on February 10.<\/p>\n<p>In January, JPMorgan<a href=\"https:\/\/u1f987.com\/en\/news\/jpmorgan-shanghai-hard-fork-and-ftx-collapse-are-positive-for-coinbase\"> noted<\/a> that<a href=\"https:\/\/u1f987.com\/en\/news\/how-the-shanghai-upgrade-will-affect-ethereums-price\"> the Shanghai hard fork<\/a> and<a href=\"https:\/\/u1f987.com\/en\/news\/how-the-collapse-of-ftx-and-alameda-research-will-affect-the-crypto-industry\"> the FTX collapse<\/a> are positives for Coinbase.<\/p>\n<p>Shares of the exchange closed February 21 down 4.8%. Since the start of the year, the company\u2019s market capitalisation has jumped 75.4%, but over the past year it has fallen 67.7%.<\/p>\n<figure class=\\\"wp-block-image size-full\\\"><img decoding=\\\"async\\\" src=\\\"https:\/\/u1f987.com\/wp-content\/uploads\/image-113.webp\\\" alt=\\\"image-113\\\" class=\\\"wp-image-198644\\\"\/><figcaption>Daily Coinbase Nasdaq chart. Data: <a href=\\\"https:\/\/finviz.com\/quote.ashx?t=COIN&#038;p=d\\\"> Finviz<\/a>.<\/figcaption><\/figure>\n<p>Ark Invest added to its Coinbase stake in February by about <a href=\"https:\/\/u1f987.com\/en\/news\/ark-invest-buys-more-coinbase-shares-worth-about-6-7-million\">$6.7 million<\/a> and<a href=\"https:\/\/u1f987.com\/en\/news\/ark-invests-cathie-wood-allocates-9-3-million-toward-coinbase-shares\">$9.27 million<\/a>.<\/p>\n<p>In October 2022, the asset-management firm bought Coinbase securities<a href=\"https:\/\/u1f987.com\/en\/news\/ark-invests-kathy-wood-buys-coinbase-shares-for-first-time-since-june\"> for the first time since June<\/a>. In November, Ark Invest structures<a href=\"https:\/\/u1f987.com\/en\/news\/ark-invests-kathy-wood-increases-coinbase-stake-by-21-4-million\"> spent another $21.4 million<\/a>, in December \u2014 <a href=\"https:\/\/u1f987.com\/en\/news\/ark-invest-buys-more-coinbase-shares-for-about-3-million\">$3 million<\/a> and<a href=\"https:\/\/u1f987.com\/en\/news\/ark-invests-cathie-wood-adds-another-5-million-to-coinbase-shares\">$5 million<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Net loss of Coinbase in Q4 2022 was $557 million, or $2.46 per share, beating market expectations ($2.52). In after-hours, the shares showed high volatility.<\/p>\n","protected":false},"author":1,"featured_media":74451,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[138,1211],"class_list":["post-74450","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-coinbase","tag-stock-market"],"aioseo_notices":[],"amp_enabled":true,"views":"13","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/74450","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=74450"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/74450\/revisions"}],"predecessor-version":[{"id":74452,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/74450\/revisions\/74452"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/74451"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=74450"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=74450"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=74450"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}