Coinbase reported a profit surge for the third quarter of 2025, beating Wall Street estimates as swings in cryptocurrency prices boosted trading activity.
The exchange earned a net income of $433 million, up from last year’s $75.5 million.
Q3 Financial Results
Coinbase shared on Thursday that its total net revenue for the quarter ended September 30 climbed to $1.8 billion, driven by higher trading volumes and growth in institutional services. Trading volume reached $295 billion, while assets on the platform totaled $516 billion, including $300 billion in assets under custody.
On the other hand, transaction revenue jumped to $1.05 billion, compared to $572.5 million a year ago, as more traders took advantage of market volatility. Subscription and services revenue also rose by 34.3% year over year to $747 million. Adjusted net income stood at $421 million, and adjusted EBITDA reached $801 million.
The company posted earnings of $1.50 per share, compared to $0.28 in the same period last year. Market analysts from LSEG had projected a profit of $1.06 per share. After the results were released, Coinbase’s stock gained more than 3% in after-hours trading.
Digital assets rallied in July as crypto-friendly policies by U.S. President Donald Trump attracted institutional investor interest, sending Bitcoin to new highs. However, weak economic data in August caused fears of a potential recession, triggering a selloff as investors pulled back from riskier assets. Crypto exchanges often benefit from such volatility, as more trading means higher revenue from transaction fees.
Expanding Market Reach and Stablecoin Growth
Coinbase completed its acquisition of Deribit in Q3, with the two recording over $840 billion in notional derivatives trading volume. The company also introduced the first 24×7 perpetual-style crypto contracts in the U.S..
The firm achieved 90% coverage of the total crypto market capitalization and added support for trading more than 40,000 assets through its DEX integration while also reporting all-time highs in institutional loan balances and stablecoin usage. Stablecoin revenue reached $355 million, up 7% quarter over quarter, while the USDC market cap climbed to an all-time high of $74 billion. Additionally, the average USDC held in its products rose by 9% to $15 billion.
Coinbase is also expanding its crypto utility, with over $100 million in One Card spending since launch. The platform credited part of this growth to the GENIUS Act, passed earlier this year, which established a regulatory framework for stablecoins.
In a letter to shareholders, the firm said it is focused on “building the everything exchange,” a single platform for all tradable assets. “Coinbase is cash-rich and growth-ready,” said David Bartosiak, Stock Strategist at Zacks Investment Research. “The company isn’t just trading coins anymore. It’s building the backbone of the new financial internet.”