Coinbase CEO Says Wall Street Is Missing the Bigger Crypto Shift

• Brian Armstrong says half of banks now embrace crypto, while others resist change and delay adoption.
• Coinbase doubled its trading market share and tripled its assets in three years as revenue streams diversified.
• Regulatory clarity and institutional hiring signal that crypto adoption is moving theory to practice.

Coinbase CEO Brian Armstrong recently addressed a question many investors have been asking. During an AMA session with analysts, someone asked why Wall Street keeps misunderstanding Coinbase. 

Armstrong did not hold back. He took to social media to share his full answer. His response has since sparked fresh conversation in the crypto space.

Armstrong Says It Is a Classic Case of the Innovator’s Dilemma

Armstrong pointed to a familiar pattern in business history. He said Coinbase is a misunderstood company, and the reason is simple. 

Industries being disrupted rarely cheer for the disruptors. He compared crypto skeptics on Wall Street to cab companies dismissing Uber. “You don’t go to the horse and buggy makers and ask them what they think about the automobile,” Armstrong wrote.

He noted that the smartest traditional finance firms are already moving. Five of the GSIB banks have started working with Coinbase. About 50% of major financial institutions are actively embracing crypto. The other half, Armstrong said, are lagging.

“Why is Coinbase always misunderstood or under-appreciated by Wall Street?” – I got asked this today in our AMA with analysts, and it’s an interesting question. Sharing my answer here.

I do think Coinbase is a bit of a misunderstood company. It’s a classic innovator’s dilemma.…

— Brian Armstrong (@brian_armstrong) February 17, 2026

Coinbase’s Recent Numbers Tell a Strong Story

Armstrong backed his claims with data from Coinbase’s Q4 and full-year earnings. Total trading volume grew 156% year over year. 

The company’s crypto trading market share doubled in 2025. Assets on the platform have increased three times over the last three years. These are numbers that Armstrong says the headlines have not always captured fairly.

He also flagged a reporting issue that he believes has misled some investors. Coinbase’s GAAP net income includes unrealized gains and losses on crypto holdings. 

Armstrong suggested looking at adjusted net income instead. By that measure, Coinbase was profitable last quarter, even in a down market.

Twelve Products Now Crossing the $100M Revenue Mark

One detail Armstrong highlighted was the scale of Coinbase’s product portfolio. The company now has 12 products each generating over $100 million in annualized revenue. 

USDC and Coinbase One both hit new all-time highs. Armstrong described this as proof that Coinbase has successfully diversified beyond trading fees. 

That shift, he said, makes the business far more resilient.

Armstrong Urges Investors to Look at Track Record, Not Analyst Models

Armstrong’s advice to investors was direct. He told them to focus on what a company says it will do and whether it delivers. 

He said Coinbase has been putting up strong numbers for three years straight. Regulatory clarity is also improving, which he sees as a major tailwind. More governments, institutions, and retail investors are entering the space.

Armstrong closed by saying no company is better positioned than Coinbase to benefit from the financial system’s transformation. He called it still an underestimated company. 

In his view, the consensus has not caught up yet, and that gap is where the opportunity lies for early investors.