Coinbase’s first quarter 2022 losses amounted to $430 million

Compared to the previous reporting period, the exchange’s total trading volume is down by $238 billion

11.05.2022 - 11:05

825

2 min

What’s new? The management of the Coinbase cryptocurrency exchange has submitted its quarterly report for the first quarter of 2022 to the US Securities and Exchange Commission (SEC). According to the document, the company had total revenue of $1,65 billion and a net loss of $430 million. The total trading volume fell to $309 billion, compared to $547 billion in the fourth quarter of 2021.

Coinbase’s report

What else does the report say? During this reporting period, 9,2 million people transacted on Coinbase, with the total amount of assets stored on the exchange’s wallets at $256 billion.

“The first quarter of 2022 continued a trend of both lower crypto asset prices and volatility that began in late 2021. These market conditions directly impacted our Q1 results. But, we entered these market conditions with foresight and preparation, and remain as excited as ever about the future of crypto,” the document says.

The company noted that such conditions will not last forever. According to the report, Coinbase plans to invest in developing its own wallet and NFT services in the new quarter.

What events happened before? In April, Coinbase launched a beta version of its own marketplace of non-fungible tokens. The exchange positions the marketplace as a “peer-to-peer community platform” where users will be able to issue, buy and sell digital assets in the ERC-721 and ERC-1155 formats. Only Ethereum-based tokens will be available while the platform is being tested, with other blockchains to come later.

The company’s representatives are also in talks to buy BtcTurk, a Turkish exchange. According to media reports, the deal will be worth $3,2 billion. An agreement on the terms of the deal has been signed, with Coinbase conducting technical due diligence.

Author: