Crypto exchange Coinbase posts first profit in two years on robust trading

Coinbase Global on Thursday posted its first quarterly profit since 2021 on sturdy trading volumes due to a resurgence of interest in crypto, sending its shares up nearly 13% after the bell. Investor enthusiasm for crypto was rekindled in recent months by the U.S. Securities and Exchange Commission’s (SEC) highly anticipated approval of the first spot bitcoin exchange-traded funds (ETFs).

While the ETFs were approved only in January, expectations of a favorable decision by the SEC propelled bitcoin’s price 57% higher in the last three months of 2023. That drove a 64% jump in crypto exchange Coinbase’s transaction revenue to $529.3 million in the fourth quarter.