Coinbase, the leading cryptocurrency exchange platform, reported a 35 percent drop in revenue for the first quarter of 2022 as extreme market volatility drove investors to reduce their exposure to risky assets, crimping trading volumes and resulting in a double-digit percent drop in revenue.
Trading volumes on the platform fell to $309 billion for the quarter ended March 31, 2022, from $335 billion the previous year.
Coinbase’s total revenue fell to $1.17 billion in the three months ended March 31 from $1.8 billion the previous year.
For the three months ended March, net loss attributable to common shareholders was $429.7 million, or $1.98 per share, compared to net income of $387.7 million, or $3.05 per share, a year earlier.
As a result, Coinbase shares fell as much as 19 percent in extended trading before recovering. After hours, the stock is down about 14 percent.