Share this article
BofA Upgrades Coinbase to Buy, Sees Revenue Diversification Beyond Retail Crypto Trading
The bank says that the increase in other revenue streams could lead to increased buying interest from institutional investors.
By Will Canny
Updated May 11, 2023, 5:52 p.m. Published Jan 6, 2022, 1:48 p.m.
Bank of America upgraded its rating on Coinbase shares to buy from neutral and left is price target unchanged at $340.
- Bank of America, in a note on Thursday, cited increasing signs of revenue diversification beyond just retail crypto trading, a trend that it thinks will accelerate this year.
- The bank forecasts subscription and services revenue will increase to 16% of Coinbase’s total revenue in 2023 from 12% in the third quarter of 2021.
- The trend will be driven by a combination of offerings such as staking, earn campaign, Coinbase’s non-fungible token platform and decentralized finance products such as DeFi yield, the report said.
- Scaling of these non-trading revenue streams could also lead to increased interest in the stock from institutional investors, Bank of America noted.
- Uncertainty around regulation remains a potential risk, but Coinbase’s “technology/innovation and brand are positive differentiators,” the report added. The bank also sees potential upside to the company’s fourth-quarter guidance.
- Coinbase shares rose 1% in pre-market trading on Thursday.
Read more: Coinbase Offers Access to DeFi Yields With DAI and Compound
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Coinbase rolls out stock trading, prediction markets and more in bid to become the ‘Everything Exchange’
Coinbase is dramatically expanding the assets available to trade on its platform, including novel cryptocurrencies, perpetual futures, stocks and prediction markets, starting with Kalshi.
What to know:
- Coinbase is expanding offerings on its platform, introducing hundreds of top stocks based on market cap, trading volume, etc, with plans to add thousands of additional stocks and ETFs over the coming months.
- Coinbase users will also be able to trade on the outcomes of real-world events like elections, sports, collectibles, and economic indicators, starting with Kalshi and more to be integrated over time.
- A new AI-driven wealth management advisory service has been introduced, as well as Coinbase Business to help startups and small businesses incorporate crypto.
Top Stories
