Cryptocurrency company Coinbase reported revenue of $ 1.8 billion for the first quarter of 2021 – more than it brought in for all of 2020, before direct listing next week.
Why does it matter: The public listing of Coinbase is highly anticipated and seen by insiders as an event that will bring industry validation.
- Coinbase’s business is largely dependent on bitcoin and the cryptocurrency market in general, so it’s no wonder that CFO Alesia Haas emphasized in a short presentation on Tuesday how the company manages its revenue and expenses. .
What are they saying: “To put it bluntly, our business is difficult to predict,” Haas said in written comments, adding that it is largely due to the fact that he cannot predict the prices of bitcoin and other cryptocurrencies.
- As such, the company forecasts multiple revenue and expense scenarios so that it can be prepared. It also uses periods of high profits to build its balance sheet and has reserves in the so-called “cryptographic winters” when prices fall, so that it can continue to invest in long-term areas.
- “We are trying to consider ourselves in terms of profitability over time,” she added.
By numbers:
- Income: $ 1.8 billion in revenue
- Adjusted EBITDA: $ 1.1 billion
- Net income: $ 730-800 million
- Trading volume: $ 335 billion
- Verified users: 56 million
- Users who perform monthly transactions: 6.1 million
Go deeper: Coinbase’s public debut brings crypto to Main Street