Coinbase Global Inc at Oppenheimer Technology, Internet & Communications Conference (Virtual) Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Owen Lau - Oppenheimer & Co - Analyst : Great. So to kick things off, lots of things happening across the crypto space within Coinbase as well and reported earnings around two weeks ago. There's a steady jump bit of regulatory and product new flow. Can we maybe start by just having you outline what's top of mind for you today? Can you frame the priorities for investor here who may be less familiar with your story?

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. And then I do want to talk about the dynamics between trading volume and revenue. And I got some questions about that, maybe there's some confusion. I think, Coinbase raised fees for some stablecoin pairs earlier this year. It looks like it impacted your trading volume since then. Could you please talk about the decision for that move and the trade off -- I think more importantly, the trade off between volume and revenue so that investors understand your decision?

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. And then maybe move on to derivative volume for both US, and also, internationally, for Coinbase. I think the number was pretty strong in the second quarter, even though the spot volume came down. Could you please talk about the drive of that strength in derivatives?

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. I want to echo what you just said, Alesia, because I remember over the last few years, we keep talking about regulations and policy. It's not like we don't care right now. We will dive into these questions, but at least we can talk more about product launches. So let's talk about regulation and policy. So President Trump just signed the Genius Act into law last month. I think it's a long overdue clarity that the industry is asking for. And the next one is the Clarity Act, right, which passed the House during the crypto week. I think it's more important for Coinbase and the whole industry for this act. What do you think about the timeline of it getting passed in the Senate and get into law?

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. Got it. Okay. And then another question about regulatory clarity is, it looks like it is also emerging outside the US as well. Could you please give us an update on your international expansion because of that? Like you listed -- I think you listed international expansion as one of your key priorities this year. How is that going? Any notable milestone that we should be aware of?

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. And then another hot topic is stable coin. It seems to be the biggest near-term beneficiary from the regulatory clarity we are seeing emerging in the US and also overseas. I mean, we know Coinbase has a deep relationship with Circle. How should we think about the opportunity and potential for stable coin market cap growth that's been unlocked following Genius and MECA?

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. And then like another narrative coming up because of that conversation is in fact, many well-known companies are expressing interest in this space and creating their own stable coin, and et cetera, and things like that. What do you think? Why can or how does USDC can win in this space versus like many other alternatives out there?

Question: Owen Lau - Oppenheimer & Co - Analyst : And then going back to your partnership, maybe related to payment space, you signed a partnership like recently with both JPMorgan Chase and PNC, very large banks in the US. Do you expect to sign more similar deals with other banks going forward? How should we think about that?

Question: Owen Lau - Oppenheimer & Co - Analyst : Yeah, I like that one just one step to build the bridges and more to come, more to come. And then another announcement was related to with Shopify, another great relationship and other large merchants out there. Is Coinbase actively signing merchant partners to drive USDC adoption? Would you partner with a merchant acquirer like to do it or Coinbase would do it on its own?

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. That's super helpful. Another hot topic is tokenization. I'm pretty sure you're being asked this question a million times already, but it looks like Coinbase is interested to get into this. Could you please talk about Coinbase's ambition in tokenization? Which asset classes do you want to tokenize? And how will Coinbase approach this? LSEG STREETEVENTS | www.lseg.com | Contact Us consent of LSEG. 'LSEG' and the LSEG logo are registered trademarks of LSEG and its affiliated companies. AUGUST 13, 2025 / 5:15PM, COIN.OQ - Coinbase Global Inc at Oppenheimer Technology, Internet & Communications Conference (Virtual)

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. So I know you're still in the early process. You don't want to talk about like the detail too much at this point, but I mean, from a philosophical standpoint, it looks like offering tokenized equities and bonds to non-US investors 24/7 has a stronger value proposition. What do you think about offering this to US investors? I mean, it's already very crowd space, convenient to trade US equities, right, within existing ecosystem. What's the thought process for the management team?

Question: Owen Lau - Oppenheimer & Co - Analyst : I like that. I like the early days and there's still some skepticism, which present opportunity. Another topic, which is actually my recent favorite topic, is the Base app, like so-called the super app. That's my term, not your term. You announced that Base app -- the Base app last month. I listened to the call. Could you please talk about Coinbase vision of this super app?

Question: Owen Lau - Oppenheimer & Co - Analyst : I am not off the wait list, but I registered -- I am still on the wait list.

Question: Owen Lau - Oppenheimer & Co - Analyst : Looking forward to it. I'm looking forward to it, Alesia. And then maybe let's turn our focus to capital allocation. Coinbase has a very strong balance sheet. I think you have around $10 billion -- around rough number of USD10 billion resources. How should investors think about your capital allocation strategy? I mean, given your share price, would you mainly focus allocating capital to organic growth and M&A?

Question: Owen Lau - Oppenheimer & Co - Analyst : Got it. Looking forward to it as well. So, to where we have covered a number of different product today, many of which are new. As we run through the rest of 2025 and going into 2026, right, we talk about payments, tokenization and derivatives, which of these opportunities has you the most excited about? Which one do you think could become a more material contributor to the business the soonest?

Question: Owen Lau - Oppenheimer & Co - Analyst : Thanks, Owen, for having me.