Coinbase generated $2.23 billion of revenue for the second quarter of 2021, as Ethereum (ETH) trading volume surpassed Bitcoin (BTC) for the first time on the platform.

Coinbase posted its Q2 report on Aug. 10 and the crypto exchange’s revenue beat analyst predictions — with industry standard financial estimators Refinitiv forecasting $1.78 billion in expected revenue for the firm. Coinbase’s earnings per share came in at $3.45, compared to estimates of $2.33.

The trading platform posted a net profit of $1.6 billion in Q2, a whopping increase of 4,900% compared to the $32 million recorded in the same period in 2020.

For the first time in Coinbase’s nine-year history, ETH flipped BTC in trading volume, with the assets representing 26% and 24% of total volume respectively. BTC trading volume declined 39% compared to Q1, while ETH increased 23% within that time frame.

Interesting data point from the @Coinbase Q2 results – ETH trading now bigger share than BTC trading. pic.twitter.com/a01JN2kHmx

— Boris Wertz (@bwertz) August 10, 2021

In the report, Coinbase stated that the decline in BTC trading volume may have been the result of the total Bitcoin volume decreasing “as a percentage of global exchange spot volume,” along with the addition of many new assets which saw increased interest and speculation.

The firm attributed the rise in ETH trading volume to the growth in DeFi and NFT ecosystems, along with increased demand due to Eth 2.0 staking.

Coinbase saw a 38% increase in total volume compared to Q1, with the firm processing $462 billion of volume in the second quarter.

Went on CNBC and explained that everyone is underestimating Coinbase and Bitcoin, along with why AMC should bitcoin on their balance sheet.

Slowly, but surely, we continue to show the world why this is the most important technology.
pic.twitter.com/jNXWAkITZv

— Pomp (@APompliano) August 10, 2021

Operating expenses were also high, totaling $1.35 billion and equating to 67% of net revenue.

Related: Coinbase’s capital markets head reportedly leaves company

Coinbase stated that Q2 2021 was a “strong quarter” which saw “growth and diversification” across the platform, with the report emphasizing a significant increase in retail and institutional clients:

“Retail Monthly Transacting Users (MTUs) grew to 8.8 million, up 44% from Q1 2021. Verified Users were 68 million. We now have over 9,000 institutions who continue to deepen and broaden their activities in the crypto economy.”

Retail traders accounted for $145 billion worth of total volume, while institutional investors represented $317 billion, equating to increases of 20% and 47% compared to Q1 respectively.

Ten of the top 100 largest hedge funds in terms of assets under management (AUM) are clients of the platform:

“In addition, in recent months, we have formed partnerships with industry leaders including Elon Musk, PNC Bank, SpaceX, Tesla, Third Point LLC, and WisdomTree Investments.”