Cryptocurrency Exchanges
Coinbase Earns $719 Million in Q3 as Prediction Markets Top $200 Million
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Coinbase Global, Inc. (COIN ) reported net income of $719 million for the third quarter ended September 30, 2026, in results published on October 29, 2026, alongside Adjusted EBITDA of $333 million and a prediction markets business that surpassed $200 million in annualized revenue.
The company said Adjusted EBITDA rose 60% quarter over quarter, marking its 15th consecutive quarter of positive Adjusted EBITDA, and reported Adjusted net income of $78 million. Subscription and services revenue represented 49% of net revenue in the quarter. Coinbase characterized the results as consistent execution through a softer crypto market, with record Average USDC Held in Coinbase Products and an all-time high in paid Coinbase One subscribers. The announcement notes that Adjusted EBITDA and Adjusted net income are non-GAAP financial measures, with definitions and reconciliations provided in an appendix and in the company’s earnings presentation.
Trading Volume Share and Assets on Platform
Coinbase Crypto Trading Volume Market Share reached 10.7% in the third quarter, the company’s fourth consecutive quarter of share gains. Coinbase said it gained share in both spot and derivatives trading, attributing the gains to stablecoin demand and diversification into perpetuals, futures, and options. The company said its crypto derivatives trading volume grew at a 179% compound annual rate over the last two years and that it leads in open interest in global options. Coinbase described its Everything Exchange as bringing more markets and products into one place for customers.
Assets on Platform represented 12.5% of Total Crypto Market Capitalization, a level Coinbase described as a return to its peak. The company said it expanded its position as the largest platform for crypto stored globally.
Prediction Markets, USDC, and Coinbase One
Coinbase said its prediction markets surpassed $200 million in annualized revenue, with 82% quarterly compound growth since launch, and that daily traders on the product grew more than 60% quarter over quarter. The company said prediction markets grew even through seasonally slower sports months and that users who trade predictions are also driving incremental spot volume.
“Prediction markets have been one of the fastest-growing products in Coinbase history, growing even through slower sports months driven by crypto contracts where we have a strong right to win,” said Brian Armstrong, co-founder and chief executive officer.
Average USDC Held in Coinbase Products reached an all-time high of $22 billion in the quarter, an all-time high for the fourteenth consecutive quarter and a 49% increase year over year, equal to roughly 30% of average USDC market capitalization. Coinbase said it captured approximately 50% of all USDC economics over the past year, attributing that share to onchain partnerships and deeper product integration.
Paid Coinbase One subscribers reached a new all-time high, up 24% year over year. The company said this cohort shows 3.5x higher average revenue per user (ARPU), 4.2x higher balances per user, and more than 50% higher long-term trading retention. Coinbase’s Average Daily Loan Book Balance also reached an all-time high in the quarter, up 74% year over year.
The company said Base remains the leading L2 for spot crypto trading and the leading L2 in DeFi Total Value Locked as of the third quarter, and that Coinbase Tokenized Stock Volume on Base has grown to over $1 billion since launch.
“We delivered growth across key profitability measures in Q3, including our 15th consecutive quarter of positive Adjusted EBITDA,” said Alesia Haas, chief financial officer. “Subscription and services revenue grew quarter over quarter and now represents nearly half of net revenue. Prediction markets are adding another revenue stream and are less correlated to crypto volatility.”
In a Form 8-K filed with the U.S. Securities and Exchange Commission on October 29, 2026, Coinbase said it published its earnings presentation for the quarter ended September 30, 2026, and furnished the presentation as Exhibit 99.1 under Item 2.02. The report was signed by Haas. Coinbase also filed its Form 10-Q for the quarter with the SEC on October 29, 2026. The company said it would hold a live question-and-answer session on X at 2:00 p.m. PT that day and that a replay and transcript would be made available on its investor relations website.
