Analysis of Coinbase's Q4'22 Earnings

Coinbase's quarterly trading volume declined (8.8%) QoQ and (73.5%) YoY on an aggregate basis from $159bn to $145bn. Quarterly retail volume fell (23.1%) QoQ and (88.7%) YoY. Institutional trading fell (6.0%) QoQ and (66.3%) YoY.

Net transaction revenue also contracted (12.0%) QoQ and (85.9%) YoY. Retail trading revenue fell (10.8%) QoQ and (85.9%) YoY, while institutional transaction revenue fell (32.3%) QoQ and (85.2%) YoY. These figures imply a ~154bps and ~1.1bps trading fee for retail and institutions, respectively.