{"id":15609,"date":"2022-12-07T23:57:03","date_gmt":"2022-12-07T23:57:03","guid":{"rendered":"https:\/\/nftandcrypto-news.com\/crypto\/coinbase-ceo-says-trading-revenue-has-fallen-to-roughly-half-what-it-was-last-year\/"},"modified":"2022-12-07T23:57:06","modified_gmt":"2022-12-07T23:57:06","slug":"coinbase-ceo-says-trading-revenue-has-fallen-to-roughly-half-what-it-was-last-year","status":"publish","type":"post","link":"https:\/\/nftandcrypto-news.com\/crypto\/coinbase-ceo-says-trading-revenue-has-fallen-to-roughly-half-what-it-was-last-year\/","title":{"rendered":"Coinbase CEO says trading revenue has fallen to \u2018roughly half\u2019 what it was last year"},"content":{"rendered":"
<\/p>\n
Coinbase CEO Brian Armstrong has revealed that the exchange\u2019s trading revenue has declined by approximately 50% or more when compared with last year, according to a Dec. 7 report from Bloomberg.<\/p>\n
Armstrong made the statement as part of an interview with the David Rubenstein Show. When asked about the exchange\u2019s revenue, he stated that the company did $7 billion in revenue and $4 billion in earnings in 2021, but \u201cit\u2019s looking, you know, about roughly half that or less\u201d in 2022.<\/p>\n
Bloomberg said that a spokesperson for Coinbase later clarified that 2022 revenue, not earnings, was projected to be less than half what it was in 2021.<\/p>\n
Coinbase had previously stated in a letter to investors that it expected to post a roughly $500 million loss in adjusted EBITDA for 2022. Adjusted EBITDA is an earnings metric that doesn\u2019t include interest, taxes, depreciation or amortization.<\/p>\n
In the interview, Armstrong was asked if he thinks the FTX bankruptcy will hurt the crypto industry. He admitted that it is \u201ca bit of a black mark for the industry\u201d but argued that what happened is not very different from traditional financial scandals like Bernie Madoff and Enron. <\/p>\n
Armstrong also said that he thought regulation \u201cwon\u2019t be a bad thing\u201d and that the FTX collapse would \u201cserve as a wakeup call\u201d that would lead to clearer regulations in the U.S.<\/p>\n
When asked about which regulatory body should have authority over crypto exchanges, the Coinbase CEO emphasized that different cryptocurrencies have different use cases, and they don\u2019t all fall into a single category, so different cryptocurrencies will have to be regulated by different agencies.<\/p>\n
2022 has been a tough year for crypto exchanges, including Coinbase. In May, the TerraUSD (TUSD) stablecoin lost its peg to the U.S. dollar, causing fear to spread through the market. In July, crypto lender Celsius filed for bankruptcy after being unable to process withdrawals partially due to the fallout from the TUSD collapse.<\/p>\n
Related: <\/em><\/strong>Crypto will be regulated as securities \u2014 ICE boss and Senator Warren<\/em><\/strong><\/p>\n Just as the crypto market was beginning to recover, the second-largest centralized crypto exchange, FTX, had a liquidity crisis and was unable to process withdrawals. It later began bankruptcy proceedings as well.<\/p>\n As a result of these events and other factors, crypto trading activity has plunged over the course of the year, and Coinbase has reported\u00a0a 44% decline in revenue in the third quarter alone. <\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":" Coinbase CEO Brian Armstrong has revealed that the exchange\u2019s trading revenue has declined by approximately 50% or more when compared with last year, according to a Dec. 7 report from Bloomberg. Armstrong made the statement as part of an interview with the David Rubenstein Show. When asked about the exchange\u2019s revenue, he stated that the […]<\/p>\n","protected":false},"author":1,"featured_media":15610,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","om_disable_all_campaigns":false,"footnotes":""},"categories":[42],"tags":[],"class_list":["post-15609","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto"],"yoast_head":"\n