If everything around goes down in flames, at least let's have some barbecue with it
https://www.theblockcrypto.com/post/146161/coinbase-q1-2022-earnings-revenueCrypto exchange company Coinbase said it incurred a net loss of $430 million during 2022’s first quarter.
The earnings release follows a rocky period for Coinbase’s stock and the US equities market as a whole.
Coinbase’s report showed a quarterly trade volume of $309 billion, down from $547 billion in Q4 2021.
Retail transaction revenue in Q1 was $966 million, down 56% compared to Q4.
Assets on platform fell to $256 billion.
Not only did Coinbase manage somehow with all their fees to run into a net loss, but they've also lost close to 50% of their trading volume so the magical solution is, as usual, to grab the next trend and bet on it:
In the letter, Coinbase said that "we believe these market conditions are not permanent and we remain focused on the long-term." The firm said future plans include continued investments in its wallet and NFT-related services.
Of course, this is the crypto press, now if we switch to the evil mainstream media we find something a bit different:
https://fortune.com/2022/05/11/coinbase-bankruptcy-crypto-assets-safe-private-key-earnings-stock/Report linked here and :
https://d18rn0p25nwr6d.cloudfront.net/CIK-0001679788/89c60d81-41a2-4a3c-86fb-b4067ab1016c.pdfOur failure to safeguard and manage our customers’ fiat currencies and crypto assets could adversely impact our business, operating
results, and financial condition.
As of March 31, 2022, we held $256 billion in custodial fiat currencies and cryptocurrencies on behalf of customers. Supported crypto assets
are not insured or guaranteed by any government or government agency. We have also entered into partnerships with third parties, such as with
the Centre Consortium, as a reseller of USDC, where we or our partners receive and hold funds for the benefit of our customers. Our and our
partners’ abilities to manage and accurately safeguard these customer assets requires a high level of internal controls. As our business continues to grow and we expand our product and service offerings, we must continue to strengthen our associated internal controls and ensure that our
partners do the same. Our success and the success of our offerings requires significant public confidence in our and our partners’ ability to
properly manage customers’ balances and handle large and growing transaction volumes and amounts of customer funds. In addition, we are
dependent on our partners’ operations, liquidity, and financial condition for the proper maintenance, use, and safekeeping of these customer
assets. Any failure by us or our partners to maintain the necessary controls or to manage customer crypto assets and funds appropriately and in
compliance with applicable regulatory requirements could result in reputational harm, litigation, regulatory enforcement actions, significant
financial losses, lead customers to discontinue or reduce their use of our and our partners’ products, and result in significant penalties and fines
and additional restrictions, which could adversely impact our business, operating results, and financial condition. Moreover, because custodially
held crypto assets may be considered to be the property of a bankruptcy estate, in the event of a bankruptcy, the crypto assets we hold in custody
on behalf of our customers could be subject to bankruptcy proceedings and such customers could be treated as our general unsecured creditors.
This may result in customers finding our custodial services more risky and less attractive and any failure to increase our customer base,
discontinuation or reduction in use of our platform and products by existing customers as a result could adversely impact our business, operating
results, and financial condition.
I think this is the best we will get from an exchange telling its users not your keys, not your coins!
