Do you think Coinbase makes money?
On April 18, according to Cindesk , according to Reuters speculation and calculations, the US head cryptocurrency exchange Coinbase 2018 global revenue is about 520 million US dollars.
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According to a paper submitted by Coinbase UK to the UK Companies Registry (Odaily Planet Daily Note: Reuters did not publish the name of the institution and the document), Coinbase's revenue in the UK increased by 20% to 153 million euros in 2018 (about $173 million).
Coebase UK CEO Zeeshan Feroz told Reuters that the UK business accounted for nearly one-third of the company's total revenue. The document also shows that Coinbase UK's net profit for 2018 was 6.6 million euros (about 7.4 million US dollars). According to the Odaily Planet Daily, Coinbase UK's 2018 net profit margin was 4.3%.
In October 2018, according to Finance Magnates, Coinbase UK, Coinbase UK, announced its FY17 earnings report in October 2018. In its annual performance, total revenue totaled 127.89 million euros (about 144 million US dollars), after deducting the cost of sales of 118.93 million euros (136.7 million US dollars), management costs of 3.72 million euros ($ 4.28 million), and remaining operating profit of 524. Ten thousand euros ($6.02 million). In addition, the relevant interest expense was reduced by 1.76 million euros ($2.02 million), and the final pre-tax profit was 3.48 million euros ($4 million).
According to financial data submitted by Coinbase, Coinbase UK's profitable tax is $1.02 million, which makes the company's after-tax profit for the past year eventually 2.6 million euros ($2.99 million). From this, it can be calculated that Coinbase UK's 2017 net profit margin is 2.08%. It can be seen that from 2017 to 2018, Coinbase UK's net profit margin is still on the rise.
According to the Odaily Planet Daily, Coinbase's earnings are mainly from three major sectors, namely transaction fees, currency fees and value-added services.
The so-called "value-added services" is to cooperate with large institutions such as YC, Overstock, Tiger Global, Dell, etc. Coinbase has access to the bitcoin payment link at the payment portal of the above-mentioned institutions, which removes obstacles for Coinbase to expand the fee income. In particular, through cooperation with investment institutions Yc and Tiger Global, Coinbase has acquired a large number of corporate resources held by the two investment giants, and has established a huge monopoly advantage in the bitcoin payment segment.
In December 2018, Coinbase partnered with PayPal, a payment platform, to provide instant, free legal currency withdrawals to US customers. This means that customers can immediately transfer their cryptocurrency balances from their Coinbase account to their PayPal account for free.
On February 26, 2019, Coinbase announced a partnership with the financial platform SoFi to help the Millennials invest in cryptocurrencies. In the future, SoFi Invest users will be able to purchase cryptocurrencies by working with Coinbase.
Xiao Lei, a well-known financial writer and gold researcher, told Odaily that the daily transaction fee of the Planet Daily is still the main source of income for Coinbase or transaction fees. According to the previous analysis of the chain, although Coinbase has been committed to increasing revenues for institutional investors, according to statistics, only 15% of the company's earnings are now from institutional accounts, and 80% of revenue comes from consumers. From the user to buy and sell bitcoin.
Source: Planet Daily
Author: Tea cold