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Cryptocurrency

Why is Coinbase’s reliance on crypto trading fees a concern?

Coinbase’s business model is significantly reliant on trading fees, which are generated when users buy, sell, or exchange cryptocurrencies on the platform. This reliance on volatile trading activity makes Coinbase vulnerable to the cyclical nature of the crypto market. During periods of market downturns, trading activity declines, and Coinbase’s revenue streams shrink. This reliance on […]