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HomeBitcoin NewsCoinbase Says It Is Targeting More Users, Not Lower Fees

Coinbase Says It Is Targeting More Users, Not Lower Fees

The crypto exchange giant Coinbase says it does not want to go toe-to-toe with its biggest rivals over fees – and instead expects to bolster its users numbers to as high as 9 million by the end of the financial year by convincing crypto investors to pick ahead of other trading platforms.

In a Q1 2021 earnings conference call, their first such call as a listed company, the firm’s Chief Financial Officer Alesia Haas stated,

In a letter to shareholders, the exchange claimed that the number of its retail monthly transacting users (MTUs) “grew to 6.1 million in Q1 2021,” a figure that was “more than double” its Q4 2020 figures. The number appears to have far outstripped guidance forecasts made last month, when the company predicted an annual 15% rise to the 7 million user mark.

The firm has now revised its annual predictions, claiming that it could hit an average FY2021 MTU figure of as high as 9 million in a scenario that “assumes an increase in crypto market capitalization and moderate-to-high crypto asset price volatility.” Such factors, Coinbase said, would effectively ensure a steady continuation of Q1 growth.

But less favorable markets could see Coinbase climb much slower, and hit the 7 million mark as previously forecasted – while a “2018”-style crypto winter could see user numbers shrink back to 5.5 million.

The firm reported total sales worth USD 1.8bn, meeting its guidance figures from last month. However, per Bloomberg, the results were “slightly below” the USD 1.81bn analysts it consulted had predicted.

Meanwhile, Coinbase’s net income was USD 771m, outpacing the same analysts’ predictions of USD 762.6m.

Coinbase (COIN)’s first month on Nasdaq:

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Learn more:
– Considering Working For Coinbase? Here’s Their New Compensation Policy
– The Dark Side Of Coinbase Listing
– Coinbase Aims At New Markets, Reg Hurdles After Nasdaq Debut

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