Coinbase Revenue Could Hit Nearly $50B by 2025, Investment Firm Says

Hayden Capital’s prediction for 2021 revenue of $8.8 billion is higher than other analysts’ estimates

AccessTimeIconNov 1, 2021 at 11:52 p.m. UTC
Updated Nov 3, 2021 at 2:21 p.m. UTC
Consensus 2023 Logo
Join the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28.

Michael Bellusci is CoinDesk's crypto reporter focused on public companies and digital asset firms.

Consensus 2023 Logo
Join the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28.

Coinbase is the best-positioned cryptocurrency-related company to benefit from the industry’s soaring growth, Hayden Capital said on Monday in a memo on the crypto exchange.

  • Coinbase could reach $49.2 billion in revenue in 2025 under a bullish outlook of mass crypto adoption, rising interest among institutional investors and the sector growing to $6.8 trillion in total size. Under a more conservative crypto market cap estimate of $3.4 trillion, the firm would more than double revenue to $21.3 billion by 2025.
  • Hayden’s prediction for 2021 revenue of $8.8 billion is higher than other analysts’ estimates; Coinbase is projected to generate about $7 billion in revenue this year, according to the analyst consensus estimate reported by FactSet.
  • Hayden Capital believes Coinbase will hold its market share lead over other crypto exchanges while also fending off competition from other fintech firms, including Robinhood and PayPal.
  • In addition, Coinbase also contains a “much larger share of the regulated spot markets in the U.S. than is widely understood, as opposed to looking at the usual trading volume leaderboards” on which most analysts are focused, the letter said.
  • Founded by former New Street Research and JPMorgan small-cap equity fund research analyst Fred Liu, Hayden Capital is a value-oriented investment firm, with holdings mostly concentrated in six to 15 core positions, according to its website.

Read more about

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Author placeholder image

Michael Bellusci is CoinDesk's crypto reporter focused on public companies and digital asset firms.


Learn more about Consensus 2023, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.


Author placeholder image

Michael Bellusci is CoinDesk's crypto reporter focused on public companies and digital asset firms.