Coinbase posts a quarterly loss as revenue falls

Coinbase reported a net loss of $394 million for the first quarter, with revenue down 31% to $1.41 billion. The stock fell about 4% to 5% after hours, a sign investors were focused on how steep that drop was.

Coinbase is responding by cutting about 700 jobs, roughly 14% of its staff, and shifting more work toward automation. The reason is straightforward: the business brought in less money this quarter, and management is trying to reduce expenses.

But the latest numbers show those cuts have not fixed the problem yet. Weaker crypto markets and softer retail trading hurt the core business and dragged down revenue. For investors, that means the story is still the same: Coinbase is spending less, but it has not yet shown that lower costs are enough to offset slower growth.