Coinbase Set for 89% Revenue Surge in 2024 Amid Crypto Revival

Coinbase (NASDAQ: COIN) is poised to capitalize on a resurgence of investor enthusiasm for cryptocurrencies, particularly Bitcoin and Ethereum, following the approval of spot Bitcoin and Ethereum ETFs earlier this year. The cryptocurrency exchange is experiencing a sharp rebound in trading volumes and user growth as a result.

Consensus estimates from Visible Alpha suggest Coinbase’s net revenues will soar by +89% year-on-year in 2024. This surge is primarily driven by a forecasted +122% increase in transaction revenue, a striking turnaround from the -35% decline seen in 2023. Subscription and services revenue is also expected to maintain robust growth, rising by +61% in 2024, following a +78% increase last year.

Trading volumes are projected to jump +121% to $1.03 trillion in 2024, recovering from steep declines of -44% in 2023 and -50% in 2022. Institutional trading, which constitutes 82% of Coinbase’s total trading volume, is forecast to grow by +116% year-over-year to $847 billion, while consumer trading volumes are expected to rise by +145%. Monthly transacting users are anticipated to expand by +11% year-on-year to 8.1 million in 2024, marking a recovery from the -16% decline recorded in 2023. Coinbase is benefiting from crypto enthusiasm as crypto adoption and Bitcoin ETF inflows continue to increase.