Coinbase One subscriptions launch as the crypto firm takes on the SEC

Hey, take a look; Coinbase pulled its subscription service, Coinbase One, out of beta. TechCrunch reports that the program is available in the US, UK, Germany and Ireland, with plans to roll out in 31 more countries in the coming months. Phil McDonnell, Coinbase’s Senior Director of Product Management, told me TechCrunch, “Maybe 18 months ago it was very transactional. People come in, trade, pay a fee, and that was the relationship.

The subscription offers benefits such as no trading fees (under a trading volume limit per user), increased staking rewards and more, more than a year and a half after Coinbase began testing it in November 2021. In return, it brings in more recurring revenue streams on a moment when the company may need them because the regulatory battle Coinbase is waging is costly.

McDonnell continued, “During the bull market from 18 months to two years ago, there was tremendous growth, but we wanted customers to stay.” TechCrunch notes that Coinbase’s subscription and services revenue grew 138 percent in the first quarter of this year, bringing in $361.7 million, compared to $152 million last year.

Coinbase is grappling with a weaker crypto market that, after recent years, has fewer active traders, as well as a U.S. Securities and Exchange Commission investigation into alleged securities law violations. In January, the company was fined $50 million by the New York State Department of Financial Services (NYDFS) for violating anti-money laundering laws, plus an obligation to spend another $50 million on compliance.

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