Coinbase Global Inc. reported a net loss of $667 million for the fourth quarter of 2025 on Thursday, February 12, 2026, as a sharp downturn in the cryptocurrency market stifled trading activity. The results marked a significant shift from previous profitability, with the U.S.-based exchange missing analyst expectations for both earnings and revenue following a 25% decline in total crypto market capitalisation during the period.
The company posted fourth-quarter revenue of $1.78 billion, a 22% decrease from the same period in the previous year. Transaction revenue, a primary driver for the platform, fell to $983 million, a 6% sequential decline from the third quarter. Analysts had anticipated a more robust performance, forecasting a profit of $1.05 per share, but the exchange delivered just $0.66 per share.
Portfolio markdowns and shifting trading habits
The $667 million net loss was largely attributed to significant investment-related markdowns within the company’s crypto asset portfolio and strategic holdings.
While institutional transaction revenue showed some resilience due to growth in derivatives trading, consumer transaction revenue dropped by 13% quarter-on-quarter. This decline was partially driven by retail users migrating toward lower-fee advanced trading options and the Coinbase One subscription service.
Despite the quarterly struggle, Coinbase executives highlighted that total revenue for the full year 2025 reached $7.2 billion, a 9% increase over 2024. The company has actively diversified its income, with 12 products now generating over $100 million in annualised revenue. Subscription and services revenue specifically rose to $2.8 billion for the year, showcasing a shift toward a more varied financial model.
Institutional growth and market expansion
Coinbase continues to expand its footprint in the derivatives market, which reached all-time highs in trading volume during the quarter. The acquisition of Deribit has positioned the exchange as a global leader in options volume and open interest. Furthermore, the company’s Layer 2 network, Base, saw increased transaction volume as part of its “Everything Exchange” vision to facilitate global asset tokenisation.
Enjoyed this piece? Bookmark DeFi Planet, explore related topics, and follow us on Twitter, LinkedIn, Facebook, Instagram, Threads and CoinMarketCap Community for seamless access to high-quality industry insights.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
