According to CryptoMonday.de, Coinbase’s retail participation has decreased by 68% in Quarter 2 of 2022.
Commenting on the data, CryptoMonday CEO Jonathan Merry said, “The data paints a picture of an industry in crisis. Clearly, the current prices are not sustainable and something will have to change soon.”
Merry also believes that Coinbase can increase retail participation depending on how the crypto trend turns out. “If the market starts to turn around, we could see Coinbase’s retail participation grow again. However, if the industry continues to decline, it is likely that Coinbase will continue to see a drop in retail participation.”
Coinbase Sees a Lousy Season
The year 2022 has proven to be a catastrophe for Coinbase. In June, the firm laid off around 18% of the staff. This led to the loss of approximately 1,100 jobs. After that, the price of Bitcoin began a steep decline, reaching roughly $22,000.
Due to the turn of events, Goldman Sachs lowered its rating on Coinbase’s COIN crypto to “sell.” Thus, the value of the firm’s shares decreased by around 70% since they were listed on the Nasdaq.
Also, Coinbase stopped accepting payments using the Unified Payments Interface (UPI) due to bad laws.
Will Coinbase Bounce Back?
Coinbase needs to adapt to the current situation and make changes accordingly. The firm needs to focus on its institutional investors and expand its products. Full story and statistics can be found here: Coinbase Retail Participation Is Down 68% In Quarter 2 of 2022