Here is the rewritten content:
Coinbase Overtakes Two of the World’s Largest Securities Exchanges in Transaction Revenue
Coinbase, a leading cryptocurrency exchange, has surpassed two of the world’s largest securities exchanges in terms of transaction revenue, according to a crypto analyst from Coutts, a private bank.
Transaction Revenue Comparison
Coinbase generated $5.75 billion in transaction revenue over the past 12 months, surpassing the Nasdaq, which generated $4.54 billion, and the Stock Exchange of Hong Kong, also known as the HKEX, which generated $2.67 billion. Additionally, Coinbase outperformed Brazil’s Bolsa Balcão, which generated $1.81 billion.
Fees and Transaction Volume
It is essential to note that these figures are not directly comparable, as they depend on fees charged per transaction, not just the sheer number of transactions or platform popularity. For instance, when buying or selling stocks or Bitcoin, Coinbase charges fees, which contribute to its higher transaction revenue.
Global Exchange Revenue
In context, all major crypto, stock, and commodity exchanges worldwide generated about $51.27 billion in transaction revenue, according to Coutts’ data.
Putting Coinbase’s Revenue in Context
While Coinbase’s transaction revenue growth is substantial, it still lags behind the world’s largest exchanges. The London Stock Exchange (LSE) generated $10.82 billion in transaction revenue over the past 12 months, and the Intercontinental Exchange (ICE), which operates the New York Stock Exchange (NYSE) and numerous futures, debt, and commodities exchanges, generated $9.16 billion.
CEO’s Insights
Mouloukou Sanoh, CEO of liquidity provider MANSA Finance, which builds on Coinbase’s BASE blockchain, noted that although Coinbase’s transaction revenue exceeds many of the world’s largest exchanges, its transaction volume lags behind the NASDAQ. "Coinbase is still significantly lower in terms of volume than all the exchanges listed in Coutts’ data. But because they charge higher fees, that’s where they have higher transaction revenue," he said.
Future Prospects
Sanoh believes that Coinbase is likely to continue overtaking traditional exchanges in revenue, potentially reaching the number three spot in total transaction revenue in 2025. However, he predicts that it may take between 10 and 20 years for Coinbase to surpass the Nasdaq in overall trading volume.
Conclusion
In conclusion, Coinbase’s remarkable transaction revenue growth is a testament to its success in the cryptocurrency exchange market. While it still lags behind the world’s largest exchanges in terms of transaction volume, its higher fees contribute to its higher revenue. As Coinbase continues to expand its services and user base, it is likely to remain a major player in the global exchange market.
FAQs
Q: What are the key takeaways from this article?
A: Coinbase has surpassed two of the world’s largest securities exchanges in terms of transaction revenue, with $5.75 billion in revenue over the past 12 months. Its higher fees contribute to its higher revenue, despite lower transaction volume.
Q: What are the key statistics mentioned in the article?
A: The article mentions the following statistics:
- Coinbase’s transaction revenue: $5.75 billion
- Nasdaq’s transaction revenue: $4.54 billion
- Stock Exchange of Hong Kong’s (HKEX) transaction revenue: $2.67 billion
- Brazil’s Bolsa Balcão’s transaction revenue: $1.81 billion
- Global exchange revenue: $51.27 billion
- London Stock Exchange’s (LSE) transaction revenue: $10.82 billion
- Intercontinental Exchange’s (ICE) transaction revenue: $9.16 billion
Q: What are the key quotes from the article?
A: The article features the following quotes:
- "Coinbase is still significantly lower in terms of volume than all the exchanges listed in Coutts’ data. But because they charge higher fees, that’s where they have higher transaction revenue." – Mouloukou Sanoh, CEO of MANSA Finance
- "I believe that there’s still a very, very long way to go." – Mouloukou Sanoh, CEO of MANSA Finance
- "I think their distribution in the U.S. is very strong, but internationally they’ve been quite weak and hesitant to expand. But now with the new administration, they’ll be more bullish on overseas expansion. I think that’s where the next billions of dollars in revenue and volume will come from." – Mouloukou Sanoh, CEO of MANSA Finance
