Bitcoin News Today: Ethereum's 12% Outperformance Drives Coinbase's Strategic Expansion

Coinbase Global Inc. (NASDAQ: COIN) reported record third-quarter 2025 results, driven by surging trading volumes and strategic investments in Bitcoin, as the crypto exchange advances its "Everything Exchange" vision. The company added $299 million in Bitcoin holdings during the quarter, reflecting its long-term commitment to the asset, with CEO Brian Armstrong stating, "Coinbase is long bitcoin," and highlighting a 2,772 BTC purchase in Q3, according to a TradingView report. Total revenue reached $1.9 billion, a 58% year-over-year increase and 26% quarter-over-quarter growth, surpassing Wall Street forecasts of $1.8 billion, according to a Crypto Economy report. Transaction revenue alone hit $1 billion, up 37% from the prior quarter and doubling the $573 million reported in Q3 2024, according to a Yahoo Finance report.

Ethereum trading gained prominence, accounting for 22% of total volume and 17% of transaction revenue, up from 15% and 12% in the previous quarter, as ETH outperformed BTC by 12 percentage points in price growth — a trend noted in the TradingView coverage. This shift aligns with Coinbase's broader strategy to diversify beyond Bitcoin, leveraging its Ethereum-based Layer 2 network, Base, which now generates profits and supports $4.6 billion in stablecoin usage, according to the Yahoo Finance article. The platform also integrated Deribit, boosting notional derivatives trading volume to $840 billion in Q3, as reported by Yahoo Finance.

Subscription and services revenue rose 14% to $747 million, driven by stablecoin income ($355 million) and blockchain rewards ($185 million), per the Yahoo Finance coverage. Coinbase's user base expanded, with 8.7 million monthly transacting users and a 38% quarter-over-quarter increase in global spot trading volumes. The company's balance sheet strengthened, with $11.9 billion in USD resources, including $3 billion in convertible debt raised, as detailed by Yahoo Finance.

Regulatory and institutional momentum bolstered the results. Coinbase applied for a national bank trust charter, following peers like Circle and Ripple, while JPMorgan analysts estimated a potential $12 billion valuation uplift from a proposed Base token, a point highlighted in the Crypto Economy piece. Despite a 5.7% drop in COIN shares during regular trading, the stock rebounded 2.5% in after-hours trading following the earnings release, according to the TradingView reporting.

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