Crypto Trader Learns of Coinbase’s “Precipitous Drop” in Bitcoin (BTC) Buying
Popular cryptocurrency and blockchain-oriented company Coinbase, Inc. is looking increasingly unlikely to match last year’s revenue of one-billion U.S. dollars, as the bearish Bitcoin (BTC) and broader cryptocurrency market continues to define 2018.
Such a possibility for the Coinbase crypto exchange giant was discussed in the latest episode of CNBC Africa’s Crypto Trader, as host Ran Neu-Ner took to interviewing Jonathan Meiri (Founder & CEO, Barrel Protocol).
Video-crossing from Crypto Trader’s Johannesburg-based studio, Neu-Ner asked Meiri to elaborate on what his firm’s data analysts had discovered about the company widely thought to be a key pillar of the nascent blockchain and crypto ecosystem.
Speaking from Tel Aviv, Meiri revealed that their data-driven insights emerged from having “looked at Coinbase transactions dating back to January 2017…all the way until a couple of days ago (early July).”
Having found “some really jaw-dropping numbers,” Meiri told Crypto Trader’s Neu-Ner that Coinbase’s reported $1 billion revenue for 2017 was heavily skewed, given that “about fifty percent of [their yearly] revenue…came in December alone.”
Coinbase Revenue “Falling Precipitously” in 2018
Continuing on with their data-tracking of anonymized Coinbase receipts throughout 2018, Meiri told CNBC Africa-based Crypto Trader that “it tells a very different story,” saying that:
Transactions in May were ninety percent down over the transactions back in January, which itself was down from December a month before.”
“Worst is Behind Us,” Crypto Exchange Data Suggests
With Coinbase having seen continual slumps so far in 2018 – both for “number of transactions” and “total revenue” – Meiri’s team calculated a roughly “ten percent bump in June over the May numbers. And, by looking into July, that process continues.” Based on this, he adds, “the worst in behind us.”
Most of Coinbase’s revenue, Meiri explained, is currently derived from retail consumers who download the Coinbase smartphone app before proceeding to purchase one of the following four cryptocurrencies they currently offer: Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC).
For more on the Coinbase-related findings referred to by Meiri – whose Israel-based team specialize in the booming industry of alternative data – we suggest reading his blog posts from February and June.
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