Can Staking Aid Coinbase to Improve Its Q3 & Q4 Performance?
Coinbase\'s performance in Q3 and Q4 is often closely watched in the crypto world. The question is: can staking significantly contribute to boosting their financial results during these periods?
Coinbase places an emphasis on adjusted EBITDA due to crypto asset holdings, reporting its highest adjusted EBITDA quarter of the year in Q4 at $1.29 billion. This highlights the importance of understanding which revenue streams are driving these figures, and staking is a key contender.
One significant area for growth is subscriptions & services revenue. While transaction revenue is historically a major driver, staking rewards earned and passed on to users contribute to this revenue stream. The profitability of this segment impacts overall performance. Given this surge, the market\'s appetite for crypto, reflected in broader exchange activity, directly affects Coinbase\'s potential for increased staking participation.
Furthermore, the rise in USDC adoption is expected to provide a boost to Coinbase’s revenue from stablecoin activities. Additionally, Coinbase continues to generate significant revenue through transaction fees, but diversifying into staking services offers a more stable and potentially less volatile income source.
We estimate Coinbase to report ~$2B in total revenue for Q4 2025, a 65% increase QoQ and 109% YoY, driven by a rebound in transaction revenue and steady growth in subscriptions & services. Staking plays a critical role in maintaining that "steady growth."
To provide context, Coinbase demonstrated strong performance in Q4 2025, with total revenue more than doubling compared to the previous year. The company achieved an adjusted profitability milestone, showcasing the effectiveness of its diversified revenue model, of which staking is becoming an increasingly important element.
Coinbase\'s Q4 2025 earnings call emphasized strong financial performance and strategic clarity for 2025, with a focus on expanding revenue through trading and other activities. Building out their staking products and accessibility could be key to further maximizing revenues.
According to CoinGecko, trading volume across the top 10 centralized exchanges (CEXs) soared 111.7% in Q4 compared to Q3. This indicates a period of heightened activity and increased opportunities for platforms like Coinbase to leverage staking and other yield-generating services to attract and retain users.
In conclusion, while transaction fees and trading volumes remain crucial, staking undeniably plays a role in diversifying revenue streams and contributing to improved Q3 and Q4 performance for Coinbase. Its continued expansion and integration into the Coinbase platform will be key in achieving sustained growth and financial stability.