Coinbase's Journey of Advancement: Product Innovation and Global Expansion

One of the leading companies in the U.S. cryptocurrency space, Coinbase is fully advancing its development strategy by strengthening its position through product innovation and market expansion. Recently, the company has made significant progress in several key areas.

Since the beginning of this year, Coinbase's stock price has shown a positive recovery trend. As of mid-June, its stock price had reached $242.71, a significant increase of 60% from the low in April. This rise is partly attributed to its inclusion in the S&P 500 index in May, marking an increase in recognition from mainstream financial markets. However, compared to its initial public offering, there is still a certain gap in the stock price.

According to data, there are currently 1,560 institutional investors holding Coinbase stock, with a total holding of over 120 million shares, including several well-known investment institutions. At the same time, Coinbase's active user count reached 34.7 million in May, ranking second in the industry.

Despite the strong performance of the market, Coinbase's profit structure still has hidden concerns. The 2024 financial report shows that transaction fees account for 63% of total revenue, and this high dependency makes its income susceptible to market fluctuations. In the first quarter of 2025, transaction revenue has already seen a 19% quarter-on-quarter decline. In addition, the rapid development of on-chain ecosystems has also brought competitive pressure to centralized exchanges.

In the face of challenges, Coinbase is actively seeking diversified growth through product innovation and global strategic layout. In the derivatives market, the company announced that it will launch compliant perpetual contract products in the United States and has reached an agreement to acquire Deribit for $2.9 billion, significantly enhancing its competitiveness in the crypto derivatives market.

In the payment sector, Coinbase has partnered with multiple e-commerce platforms to promote the use of USDC and has jointly launched a high cash-back cryptocurrency credit card with American Express. The company is also focusing on on-chain trading, integrating the Base network DEX into its main application, and launching new tokens on Base to enhance its competitiveness in the Layer 2 network.

For institutional investors, Coinbase has launched the Bitcoin Yield Fund, providing Bitcoin holding and yield services for non-U.S. institutional investors. At the same time, the company is actively expanding its global compliance business, striving to become one of the first platforms to obtain a license under the EU MiCA regulation.

Despite Coinbase's progress in multiple areas, it still faces numerous challenges. The trust crisis triggered by data breaches and information disclosure issues, as well as the increasingly complex regulatory environment and market competition, will test the company's future development capabilities. Whether Coinbase can effectively address these challenges, optimize its profit structure, and continue to earn user trust will be key to its future development.