Coinbase released its first quarter earnings, falling drastically short of its Q4 earnings of $2.5 billion. The earnings report revealed that Coinbase pulled in just $1.17 billion, posting a quarterly loss of $430 million.
In a letter to shareholders, Coinbase said, “The first quarter of 2022 continued a trend of both lower crypto asset prices and volatility that began in late 2021. These market conditions directly impacted our Q1 results. But, we entered these market conditions with foresight and preparation, and remain as excited as ever about the future of crypto," concluding with #wagmi — a crypto acronym “We’re all going to make it.”
It is not a secret that the crypto space in general has been hurting lately. Bitcoin has watched its price erode to around $30,000, well under the $40,000 levels it was hovering around in April. Stablecoins are withering on the vine, and uncertainty remains the regulation and policing of the crypto space as it becomes more mainstream. Tyrone Ross, CEO of Onramp Invest, in discussing the crypto crash with CNBC noted that, “When something goes on sale and you like it, you should buy it.”
As Coinbase shares plummet 80% below their April Nasdaq debut and trading volume on the Coinbase exchange drops from $547 billion to $309 billion, now is an excellent opportunity to kick the tires on crypto futures. The VanEck Bitcoin Strategy ETF (XBTF ) is one of the lowest-cost bitcoin-linked ETFs on the U.S. market, and its team of active managers with decades of experience in the futures market is well positioned to take advantage of the “crypto winter.” VanEck director of digital assets products Kyle DaCruz noted during XBTF’s launch that “Both cost and tax treatment are two essential considerations for investors, and we have made both front and center in the design of XBTF.” XBTF uses a unique C-corp tax structure that could let investors see more of their returns.
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