Coinbase posts 35% revenue drop as Morgan Stanley cuts it to Sell
The gist
Coinbase's Q3 revenue fell 35% to $1.22 billion, and Morgan Stanley cut the stock to Sell.
The downgrade signals doubts about a 2027 rebound the bank once expected.
How it unfolded
- Oct 29, 2026Coinbase reported Q3 2026 revenue of $1.22 billion, down 35% year over year, with transaction revenue down 44% to $590 million as consumer spot trading fell 59%.
- Oct 29, 2026Management said overall crypto spot trading volume fell 10% from the second quarter, while prediction markets passed a $200 million annualized revenue rate.
- Oct 30, 2026Coinbase shares fell 10.62% to close at $143.54, just above the stock's lowest close of the past year of $141.09 on Feb 12, 2026.
Key terms
- spot trading
- Buying or selling a commodity, security or currency for immediate settlement, usually within two business days.
Source: Wikipedia