Coinbase Q3 GAAP Profit Hits $718.7 Million on Crypto Gains as Adjusted Income Falls 82%

SentiSense · Published Oct 29, 2026, 4:14 PM ET · Updated Oct 30, 2026, 8:11 AM ET

Coinbase reported Q3 GAAP net income of $718.7 million, or $2.51 per diluted share, almost all of it from a $715.0 million gain on crypto held for investment, while non-GAAP adjusted net income fell 82% to $77.7 million. Total revenue dropped 35% to $1.22 billion, which sources variously called in line with or short of consensus, and spot trading volume fell about 54% to $134.5 billion. Shares had closed at $160.59, down 1.1%, before the release, and after-hours moves were reported anywhere from down 2% to up 0.2%.

COIN reported third-quarter GAAP net income of $718.7 million, or $2.51 per diluted share, up 66% from $432.6 million a year earlier and a swing from a $359.5 million loss in the second quarter. Nearly all of it came from a $715 million gain on crypto holdings rather than core operations. Adjusted net income, a non-GAAP measure, was $77.7 million, down 82% from $420.7 million.

GAAP total revenue fell 35% to $1.22 billion and net revenue fell 34% to $1.16 billion. Whether that met consensus depends on the line and the poll: FirstSquawk called $1.22 billion in line with estimates, CNBC said revenue of $1.20 billion trailed the $1.233 billion LSEG expected, and Yahoo Finance cited a $1.21 billion forecast. Analysts had expected a per-share loss of 15 cents (Decrypt) or $0.26 (Investing.com). Adjusted EBITDA, also non-GAAP, was $332.9 million, above the $282.9 million estimate, up 60% from the second quarter but down 58% from $800.7 million a year ago.

Transaction revenue fell 44% to $590.2 million but beat the roughly $527 million analysts expected, per Decrypt, while subscription and services revenue fell 20% to $570.2 million. Spot trading volume dropped about 54% to $134.5 billion, derivatives volume rose about 14% to $963.0 billion, and Coinbase's share of crypto trading volume rose to 10.7% from 5.6%. Stablecoin revenue was $307 million, average USDC held hit a record $22 billion, and prediction markets passed $200 million in annualized revenue.

For the fourth quarter, Coinbase guided subscription and services revenue to $550 million to $630 million and non-GAAP adjusted expenses to $1.007 billion to $1.157 billion, with about $165 million of transaction revenue through Oct. 25. Its deck cautions against extrapolating that quarter-to-date figure. Third-quarter adjusted expenses were $975 million, below the $980 million to $1,080 million outlook.

Shares closed Thursday at $160.59, down 1.1%, before the results. After hours, Yahoo Finance said they sank 2%, Investing.com put them about 0.2% higher and Decrypt called them little changed. Watch whether transaction revenue holds its pace through the quarter and how much reported profit keeps tracking crypto prices.

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