The largest cryptocurrency exchange Coinbase has reported a massive loss in both revenue and profit in the June quarter — logging $1.1 billion in a net loss as revenue declined from $2.033 billion to $803 million from a year-ago quarter which is a sharp drop of nearly 60 percent.

In quarterly terms, the net revenue of Coinbase was down 31 percent compared to Q1, driven by lower trading volume.

“Q2 was a tough quarter, with trading volume and transaction revenue each down by 30 percent and 35 percent sequentially, respectively. Both metrics were influenced by a shift in customer and market activity, driven by macroeconomic and crypto credit factors alike,” the company said after reporting its Q2 results late on Tuesday.

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“On the expense side, we’ve taken several steps to streamline our cost structure, including an 18 percent employee reduction in June,” it revealed.

“The current downturn came fast and furious, and we are seeing customer behavior mirror that of past down markets,” the company said in its shareholder letter.

Total trading volume declined to $217 billion, down 30 percent compared to Q1.

In contrast, total crypto spot trading volume declined 3 percent on a sequential basis, resulting in lower trading volume market share, said the company.

“Q2 was a test of durability for crypto companies and a complex quarter overall. Dramatic market movements shifted user behavior and trading volume, which impacted transaction revenue, but also highlighted the strength of our risk management program,” said Coinbase.

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