đ°đ” How do Coinbase and Tether generate revenue?
COINBASE:
âą Revenue diversification: Coinbase, the largest exchange in the US, has diversified its products and revenue streams in Q2/2024.
âą Although total revenue decreased by 11% compared to the previous quarter, reaching $1.45 billion, revenue from transaction fees decreased sharply by 27%, to $781 million.
âą However, revenue from services and subscriptions increased by 17%, reaching $599 million, with blockchain rewards and stablecoins accounting for the majority.
âą Costs and profits: Operating expenses increased by 26%, reaching $1.1 billion, but Coinbase still had a positive net profit of $36 million, although much lower than the nearly $1.2 billion in Q1/2024. Coinbase's total liquidity is $7.8 billion, up 10% QoQ.
âą Q3 2024 forecast: #Coinbase expects transaction fee revenue to remain stable, but service and subscription revenue may decline slightly due to the Fed's interest rate and the ETH price decline.
âą Human resources and marketing costs are expected to increase due to expansion and new product development such as Base, Smart Wallet, and partnership with Stripe.
TETHER:
âą Record profit: #Tether reports record profit of $1.3 billion in Q2 and $5.2 billion in H1 2024.
âą Tether's US bond portfolio is worth $97.6 billion, placing the company in the top 18 largest US bond holders globally.
âą Expanding RWA investments: Tether has reinvested in industries such as sustainable energy, Bitcoin mining, and AI technology.
âą The boom in profits also reflects the growth of RWA (Real World Assets), with the government bond crypto market growing 131% in 6 months and forecast to reach $3 billion by the end of 2024.
Source: Coin98 Insights
