Coinbase experienced a mixed third quarter. Corporate documents reveal that revenue stood at $1.20 billion, which fell short of the $1.233 billion anticipated by analysts, according to company filings. Subscription and services income performed stronger, climbing to $570 million. Although the business remains largely dependent on trading volume, its recurring revenue streams are expanding.
Monthly Transacting Users dropped to 7.4 million, marking a decline from the 9.3 million reported during the same period last year. In its earnings conference call, Coinbase attributed the shift to broader market conditions. Its portion of total cryptocurrency trading volume climbed to 10.7%, representing four consecutive quarters of increases and indicating that the firm is capturing market share even as the wider industry slows down.
Adjusted EBITDA reached $332.9 million, marking the continuation of a 15-quarter streak of profitability under that metric. The prediction markets sector surpassed $200 million in annualized revenue, and Coinbase One reached an all-time high in subscriber numbers.
Coinbase CEO prepares stock sales
In a separate development, regulatory filings from October 30 disclose that Chief Executive Officer Brian Armstrong has established an arrangement to divest up to 8.17 million Class A shares. He put the plan into motion back in August utilizing SEC Rule 10b5-1, a mechanism that permits corporate officers to schedule equity disposals in advance. Transactions could occur between November 16 and October 2027, depending on specific equity price thresholds. Co-founder Fred Ehrsam and President Emilie Choi have put comparable frameworks in place, raising the combined total to roughly 13.6 million shares.
This strategy is familiar territory for Armstrong. Previously, VanEck analyst Matthew Sigel monitored around $545.7 million worth of disposals over a nine-month window starting in April 2025. Armstrong has maintained that these divestments serve as personal risk management rather than indicating a lack of confidence in the enterprise.
Coinbase stock drops nearly 15%
Equity shares of Coinbase (COIN) dropped roughly 15% today, though this movement was not necessarily tied to the financial results.
Binance reported a security breach on October 29 estimated at $6.3 billion, positioning it as the largest digital asset theft in history. Approximately $3 billion in funds has been locked down so far, with industry collaborators assisting in freezing the stolen capital.
The perpetrators are suspected to have connections to North Korea, although Binance has not formally blamed any particular faction. The trading platform stated that it found no signs of compromised wallet private keys.
Binance reported holding $6.34 billion in reserves to absorb the damages. User deposits remained untouched, and the organization anticipates restoring withdrawal capabilities within a 48-hour window. These metrics are preliminary, and estimations differ slightly among news outlets.
The financial markets reacted swiftly. Bitcoin dropped about 4.5% to slide under $77,000. Equities of Strategy (MSTR) dropped nearly 10% during the session. Strive (ASST) shares experienced intraday declines exceeding 12%. Coinbase stock remains down by over 55% for the year.
Originally published at https://bitcoinmagazine.com/news/coinbase-falls-armstrong-sets-up-new-share.
