From November 9 through Monday, Coinbase shares were down 269 percent from their 52-week high of $368.90 a share. The stock fell 19.5 percent overnight after the US-based cryptocurrency exchange revealed a Q1 financial loss of US$430 million and a 44 percent drop in trading volume.
Coinbase lost US$430 million in the first quarter, compared to a profit of US$840 million in the fourth quarter of 2021.
Monthly transacting customers fell 19 percent in Q1 from 11.4 million in Q4 2021 to 9.2 million in Q1.
Coinbase expects trading volume and income to drop even more in Q2 as the crypto market continues to collapse.
Coinbase, on the other hand, stated that it will continue to invest substantially in “creating the future of cryptocurrency.”
Coinbase’s stock has fallen about 70% year to date, to US$72.99, well below the reference price of US$250 set at the time of IPO.
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