Coinbase reported a surge in profit in the second quarter propelled by revenue that easily beat Wall Street projections.
The crypto marketplace posted a net income of $1.6 billion, compared to $32 million in the year-ago quarter. Revenue soared elevenfold to $2 billion from $178 million in the same quarter last year. Analysts were expecting revenue of $1.8 billion.
Coinbase said the quarter also saw big jumps in the prices of major cryptocurrencies, led by ether and bitcoin. But the company said the quarter also "illustrated the volatility we have anticipated in these still-early days in the cryptoeconomy."
Transaction revenues accounted for the vast majority of Coinbase's revenues, though the company pointed to growth in custody services and other revenue sources.