Coinbase Subscriptions and Services Contributed 51% of Its Q2 Revenue
Michael Anderson, co-founder of Framework Ventures, was surprised by the success of Coinbase's subscription model, as subscription and service contributed 51% of Coinbase's Q2 revenue due to changes in revenue strategy.
Coinbase's Diversified Revenue Model Is Paying Off
Michael Anderson, co-founder of Framework Ventures, was surprised by the success of Coinbase's subscription model. Anderson said that predictable revenue growth is what Wall Street wants, and the best way to have a successful enterprise with predictable revenue growth is not based on transactions. Competing transaction fee models often evolve into "zero competition," and transaction volume is essentially "highly cyclical." As the cryptocurrency market seems to have fluctuations every three to four years, transaction revenue will also fluctuate. The transition to subscription and service models is "critical" for Coinbase's long-term success. Anderson added that income from staking is surprisingly positive. The new target for ETH staking amounts is basically higher than other people's predictions.
SEC delays decision on Ark Investment's proposed Bitcoin ETF
The US Securities and Exchange Commission (SEC) has delayed its decision on the proposed spot Bitcoin ETF by Ark Investment Management. The SEC announced a 21-day comment period for the ARK 21Shares Bitcoin ETF in a statement on August 11. The company first applied for a spot Bitcoin ETF in May. The SEC has until January 2024 to make a final decision and noted that regulation of the spot Bitcoin market is not a requirement for approval. Other large firms, including BlackRock, have also applied for spot Bitcoin ETFs, and some have updated their applications to include Coinbase as a custodian.
Crypto Lobbying Organizations and Senator Lummis Call for Dismissal of SEC Lawsuit Against Coinbase
Several crypto lobbying organizations, a group of professors, and US Senator Cynthia Lummis have filed amicus briefs urging a federal court to dismiss the Securities and Exchange Commission's (SEC) lawsuit against Coinbase. The SEC had brought lawsuits against Coinbase and Binance in June, alleging that they were unregistered securities exchanges, brokers, and clearinghouses trading unregistered securities in the form of crypto assets.
Voyager Transfers 1,500 ETH and 250 Billion SHIB to Coinbase
As monitored by on-chain analyst Yu Jin, an hour ago, Voyager transferred 1,500 ETH ($2.77 million) and 250 billion SHIB ($2.7 million) to Coinbase. In addition, Voyager is consolidating all remaining tokens in its wallet addresses to its main address. The cryptocurrency claims of Voyager users have ended, and the final fiat compensation process should now be underway: selling the remaining cryptocurrencies and compensating users in USD.
American Chamber of Digital Commerce Filed amicus brief in support of Coinbase
US Chamber of Digital Commerce has submitted a friend of the court statement in support of Coinbase in the SEC lawsuit. The goal is to end the SEC's actions in regulating the digital asset industry without legislative authorization. While Congress is studying solutions, the SEC's aggressive actions have stifled innovation. <br>
Blockchain groups argue SEC lawsuit against Coinbase is attempt to usurp Congress's authority
A group of blockchain advocacy organizations has come together to argue that the Securities and Exchange Commission's lawsuit against Coinbase is an attempt to exceed the authority of Congress. They are urging the judge overseeing the case to dismiss it. <br>
Kaiko: Kraken overtakes Coinbase as the most liquid altcoin exchange in the US
According to cryptocurrency research company Kaiko, based in California, USA, Kraken, a cryptocurrency exchange, has become the preferred market for US altcoin trading, surpassing competitors like Coinbase. Kaiko states that Kraken accounts for 47% of the top 10 altcoin market depths. Market depth refers to the ability of a specific market to absorb large buy or sell orders without affecting the asset price of that market. After last year's price drop and the collapse of FTX, exchanges and the liquidity and market depth of cryptocurrencies were negatively affected. According to The Block's data dashboard, Kraken's market share in exchanges that support US dollar deposits steadily increased last year, rising from around 8.3% in August 2022 to 21.1% in July.
Coinbase’s Layer 2 Blockchain Exceeds 100,000 Daily Active Users After Official Launch
Coinbase's layer 2 blockchain has seen over 100,000 daily active users for the first time since its official launch. On August 10th, there were over 136,000 daily users, with around 30% being new users. Base now ranks 4th in daily transactions per second among layer 2 solutions, according to CryptoRank. Base launched its mainnet on August 9th after spending time in an "open for builders only" phase.
Coinbase Ventures invests in Rocket Pool by purchasing RPL tokens
On August 10th, Coinbase Ventures announced that it has recently invested in the decentralized Ethereum staking protocol Rocket Pool by purchasing RPL tokens, but the specific amount has not been disclosed. Rocket Pool allows users to stake ETH while retaining liquidity. Currently, its network has over 3,100 node operators and the amount of Ethereum staked exceeds 780,000 ETH.
