Institutional crypto exchange Coinbase Global Inc (NASDAQ:COIN) approaches its third-quarter earnings call off the back of a tumultuous year.
Not only has the company contended with a biting crypto winter that has driven people away from the platform, but allegations of insider trading controversies and (unfounded) bankruptcy rumours have also appeared.
COIN shares have fallen over 70% year to date.
On the bright side, Cathie Wood’s ARK fund just went large on Coinbase, and the world’s largest asset manager BlackRock recently enabled crypto trading and custody services via a partnership with Coinbase Prime.
Coinbase’s own outlook is lukewarm: “We expect monthly tracked users (MTUs) to be lower in the third quarter compared to the second quarter, and for a higher portion of MTUs to be non-investing users.”
Outgoings are expected to be high, notably the US$1bn in technology and development plus general and administrative expenses.
“We are working hard to operate within the US$500mln adjusted EBITDA loss guardrail,” the company said of its full-year guidance.