Cryptocurrency Winter Hits Coinbase Hard, Leading to Q4 Losses

In its quarterly earnings call, U.S. cryptocurrency exchange Coinbase reported that its Q4 2025 revenue fell more than 20% to $1.8 billion, turning from a net profit of $1.3 billion in the same period last year to a net loss of $667 million. This downturn was primarily due to a roughly 50% drop in Bitcoin prices from its October 2025 high, which dampened trading activity and led to significant impairment losses on cryptocurrency holdings. Over the past few years, Coinbase has reduced its reliance on spot trading, acquiring the cryptocurrency options exchange Deribit and launching stock trading and prediction markets. Among these, the most significant contribution to revenue stabilization has been...