fbpx
Connect with us

Bit Coin

Coinbase’s Q2 profits top $1.6B as ETH volume surpasses BTC’s for the first time

Published

on

Coinbase’s Q2 profits top $1.6B as ETH volume surpasses BTC’s for the first time

Coinbase beat analyst estimates in Q2, after it generated $2.23 billion in revenue compared to estimates of $1.78 billion.

3617 Total views

203 Total shares

Coinbase's Q2 profits top .6B as ETH volume surpasses BTC’s for the first time

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.”

Go to Source

Bit Coin

Record Crypto Inflows of $1.47B Last Week Boosted by Bitcoin ETFs

Published

on

Record Crypto Inflows of $1.47B Last Week Boosted by Bitcoin ETFs

Cryptocurrency investment products and funds saw record inflows from investors last week, according to the latest CoinShares data.

During the tenth straight week of crypto inflows last week, digital asset investment products saw inflows amounting to $1.47 billion, a new record by a significant margin. According to the weekly report from CoinShares, this is more than double the previous record of $640 million set earlier this year in February. Over the course of the week, total assets under management peaked at a new record of $79.2 billion, but finished the week at $76.7 billion. Year-to-date inflows now amount to $8 billion, far exceeding that of $6.7 billion in 2020.

The majority of inflows went to Bitcoin, amounting to $1.45 billion, while Ethereum saw outflows for a third consecutive week totaling $1.4 million. Altcoins Solana, Cardano and Binance also saw significant inflows at $8.1 million, $5.3 million and $1.8 million respectively.

Boosted by Bitcoin ETF approval

CoinShares attributes the outsized demand to the Securities and Exchange Commission (SEC) approving the first Bitcoin-based exchange traded funds (ETFs). This enabled the listing of two such Bitcoin investment products, whose inflows totaled $1.24 billion. This also contributed to Bitcoin achieving a new all-time high of over $67,000 last week.

“Bitcoin hitting new all-time highs shows both how far we’ve come and the capacity bitcoin has to upend the financial system and create a global economy, linking the developed and emerging markets like never before,” said co-founder and CEO of Paxful Ray Youssef. “While this recent price rally can be attributed to movements like the approval of the first bitcoin ETF for institutional investors, we can’t ignore the impact of significant development and adoption in emerging markets.”

After its debut, the ProShares Bitcoin-futures-based ETF became the second-highest traded fund in history, attracting a staggering 24 million shares. It proved so successful that it was already approaching the limit on the number of futures contracts permitted by the Chicago Mercantile Exchange. However, following this act proved difficult as Valkyrie’s Bitcoin futures-based ETF opened at $25, but only fell from there.

What do you think about this subject? Write to us and tell us!

Disclaimer

All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.

Go to Source

Continue Reading

Bit Coin

South Korean pension fund to invest in Bitcoin ETF: Report

Published

on

South Korean pension fund to invest in Bitcoin ETF: Report

KTCU plans to invest in Bitcoin ETF products after consultation with domestic asset managers,” an executive reportedly said.

3404 Total views

47 Total shares

South Korean pension fund to invest in Bitcoin ETF: Report

South Korea’s public pension fund, the Korean Teachers’ Credit Union (KTCU), is reportedly looking to gain exposure to Bitcoin (BTC) via a crypto exchange-traded fund (ETF).

KTCU, one of the largest institutional investors in South Korea, is considering investing in a pure Bitcoin ETF or Bitcoin-linked ETFs in the first half of 2022, local news agency The Korea Economic Daily reported Monday.

According to the report, KTCU is considering investing in several Bitcoin ETF products, including those by South Korean asset management firm Mirae Asset Global Investments. The company launched two ETFs tracking the value of Bitcoin futures via its Canadian subsidiary, Horizons ETFs, in April 2021.

“As there are some well-made cryptocurrency-linked ETF products by asset managers such as Korea’s Mirae Asset Global Investments, we plan to invest in the ETF products after consultation with domestic asset managers,” an executive at KTCU reportedly said.

The official also mentioned potential investment in a Bitcoin ETF by Mirae Asset’s subsidiary, Global X ETFs, which filed for a Bitcoin ETF with the United States Securities and Exchange Commission in July.

According to the report, KTCU is the second-largest institutional investor in South Korea, with $40.2 billion in assets under management. The pension fund has allocated 40% of its investments in alternative assets, 10% domestic and 9% international stocks. KTCU has yet to determine the size and other details of its potential Bitcoin ETF investment.

Related: Why now? SEC took eight years to authorize a Bitcoin ETF in the US

The news comes amid global pension funds getting increasingly interested in gaining exposure to cryptocurrencies like Bitcoin and major companies in the industry. Last week, the Houston Firefighters’ Relief and Retirement Fund reportedly purchased $25 million in Bitcoin and Ether (ETH). Canada’s Ontario Teachers’ Pension Plan Board participated in a $420-million funding round for major crypto exchange FTX, the firm announced on Thursday.

Go to Source

Continue Reading

Bit Coin

Dubai regulator announces new regulations for investment tokens

Published

on

Dubai regulator announces new regulations for investment tokens

The UAE continues to be one of the friendliest jurisdictions worldwide for the digital asset industry.

4632 Total views

34 Total shares

Dubai regulator announces new regulations for investment tokens

The Dubai Financial Services Authority (DFSA) has established a regulatory framework for investment tokens as part of its efforts to stimulate the digital financial and technological environment while also meeting market players’ demands and requirements.

The DFSA is an independent regulatory body in Dubai that is in charge of monitoring and regulating financial services companies wanting to operate in the city. It also licenses and regulates its products and services.

According to a report by Emirati news agency WAM, the DFSA’s regulatory framework defines investment tokens as either “a Security Token or Derivative Token.”

The report notes that the creation of a new regulatory structure is the first step in the DFSA’s Digital Assets Regime, which reflects the suggestions made in Consultation Paper 138 published in March 2021. The consultation paper sought public input on the DFSA’s plans for regulating security Tokens. 

As reported by Cointelegraph in March, the financial regulator in Dubai called on members of the public to submit comments on its proposed rules for cryptocurrencies considered to be security tokens.

The investment token framework is designed to safeguard investors and provide legal certainty for market operators. 

Related: UAE regulators approve crypto trading in Dubai free zone

It specifies the sort of investment tokens that are permitted and which may be listed on a Digital Asset Exchange in the Dubai International Financial Centre, as well as other pertinent information.

The DFSA is also working on plans for unlisted securities not covered by the investment tokens regulatory framework. These are anticipated to include cryptocurrencies, utility tokens and certain stablecoins. The DFSA is expected to publish a follow-up consultation paper in the fourth quarter of this year.

Go to Source

Continue Reading
Home | Latest News | Cryptocurrency | Bit Coin | Coinbase’s Q2 profits top .6B as ETH volume surpasses BTC’s for the first time

Market

Trending