Coinbase posts net profit of $1.2 billion in Q1, higher than total net profit of 2023

The exchange announced total revenue of 1.6 billion USD and net profit of 1.2 billion USD in the first quarter, reaching 1 billion USD according to Adjusted EBITDA (a measure of a company's income before interest, taxes, depreciation, and amortization). depreciation and amortization). Coinbase's adjusted EBITDA for full year 2023 is at $977.5 million.

According to its financial statements, Coinbase's net profit comes from $737 million in pre-tax unrealized profits on Cryptoasset. The company ended the quarter with $7.1 billion in Capital , including $1.1 billion in net cash raised through the sale of 2030 convertible notes .

Total liabilities increase from $200.7 million from Q1 2023 to $339.9 million in 2024.

Revenue from consumer transactions reached 935 million USD, up 99% compared to the previous quarter. Volume totaled $56 billion, up 93% in the quarter, outperforming the US spot market, which was up 91% over the same period.

Institutional transactions also increased during the quarter, generating revenue of $85 million, up 133% from the previous quarter. According to the exchange, volume on its platform for institutional clients, Coinbase Prime, increased 105% to $256 billion, also outperforming the US spot market.

“Our institutional platform, Coinbase Prime, reached All-Time-High in volume and active customers in Q1. Bitcoin ETFs combined with strong market conditions in Q1 unlocked customer engagement growth across this powerful product suite. In fact, nearly 40% of institutional customers participated in at least 3 products in Q1.”

Coinbase said in its Q1 2024 report

Coinbase also announced a 64% increase in custodial revenue, reaching $32 million in the first quarter, largely driven by Cryptoasset prices and Bitcoin ETF revenue. Coinbase also Vai as the custodian for 8 of the 11 newly launched BTC funds. Coinbase assets under management rounded out the quarter at $171 billion.