Coinbase hit by spot trading slump: Wall Street trims expectations ahead of earnings
Wall Street expects a sluggish second quarter from Coinbase as crypto trading activity cools, putting all eyes on and pending U.S. crypto legislation.
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Summary
- Trading volumes plunged in April and May, prompting multiple top Wall Street firms to slash their second-quarter estimates for Coinbase.
- Softer transaction numbers are expected to be partially cushioned by steady subscription and services income, including stablecoin interest and staking rewards.
- Long-term growth initiatives like prediction markets and derivatives show promise, but regulatory progress on Capitol Hill remains the biggest wild card for investors.
