Coinbase Stock Surges 2.14% on $5.16 Billion Volume Soars to 12th in U.S. Dollar Turnover

On October 3, 2025, Coinbase Global (COIN) surged 2.14% with a trading volume of $5.16 billion, ranking 12th among U.S. stocks by dollar turnover. The cryptocurrency exchange operator saw renewed institutional interest following a regulatory update clarifying its compliance framework for staked asset revenue. A key factor driving the rally was the U.S. Securities and Exchange Commission’s (SEC) non-action letter confirming Coinbase’s staking income would not be subject to immediate regulatory action, provided it maintains current operational standards. This development reduced uncertainty for investors who had previously questioned the company’s long-term profitability model.

Market participants also noted improved sentiment from a separate announcement regarding Coinbase’s expansion of institutional custody services. The company confirmed partnerships with two new pension funds seeking to allocate portions of their portfolios to crypto assets. While the exact terms were not disclosed, the move signals growing mainstream adoption of digital assets as traditional investors seek yield in a low-interest rate environment. Analysts highlighted that these developments strengthen Coinbase’s recurring revenue streams beyond its core exchange operations.

To carry out this back-test rigorously I need to pin down a few implementation details that aren’t completely specified yet: 1. Universe and exchange • Should I use all U.S. common stocks (NYSE + NASDAQ + AMEX), or a different universe? 2. Weighting method after the daily volume sort • Equal-weighting each of the 500 names, or volume-weighted / dollar-weighted? 3. Trade price assumptions • Enter at each day’s close and exit at the following day’s close (typical) – is that acceptable? 4. Frictional costs • Should I include transaction costs or slippage? If so, please indicate assumptions. Once these are clarified I can generate the daily buy/sell signals and run the back-test from 2022-01-03 through today.