• Armstrong compared Coinbase's growing 'crypto-as-a-service' strategy to what Amazon did with AWS.
• He noted that, alongside banks, Coinbase's network includes payment providers such as Stripe, PayPal, and fintechs like Revolut and Webull. 
• However, Wall Street analysts are split on the company's outlook despite the strong quarter.

Coinbase (COIN) is expanding its institutional presence through new partnerships with major financial firms, including Citi (C), JPMorgan (JPM), and BlackRock (BLK), as part of its evolving“crypto-as-a-service” strategy. 

CEO Brian Armstrong stated during Thursday's earnings call that 264 institutions are now utilizing the company's developer platform, Coinbase Developer Platform (CDP), which enables firms to integrate digital-asset capabilities into their existing systems.“I'm also really proud that Coinbase has built out infrastructure that can power other companies,” Armstrong said.“We call that product Coinbase developer platform... it's similar to what Amazon did with AWS.”

He noted that, alongside banks, Coinbase's network includes payment providers like Stripe and PayPal, as well as fintechs such as Revolut and Webull. The company is also working with Shopify to enable crypto-powered payments, a move that Armstrong said highlights Coinbase's transition from exchange operator to infrastructure provider.

Coinbase's Q3 Earnings

Coinbase reported revenue of $1.87 billion for the third quarter (Q3) of 2025, beating analyst estimates of $1.81 billion, according to Koyfin data. Net income rose to $432.6 million from $75.5 million a year earlier.

The company's recent acquisition of Echo, a startup focused on private capital formation, aims to expand Coinbase's footprint into digital capital markets.“We're trying to make it easy for anyone to raise money,” Armstrong said, adding that Coinbase's $500 billion in assets and institutional base create a“two-sided marketplace” connecting issuers and investors.

Analysts Split On Outlook After Strong Quarter

Analysts delivered mixed reactions following the report, as per TheFly. Rosenblatt raised its price target to $470 from $450 and kept a 'Buy' rating, citing“strong” results and product expansion. 

Cantor Fitzgerald cut its target to $459 from $500 but maintained an 'Overweight' rating, saying October transaction revenue is trending 10% higher than the third-quarter average. 

Meanwhile, JPMorgan trimmed its target slightly to $399 from $404, keeping its 'Overweight' rating on the stock and noting the“breadth” of solid results should satisfy investors despite high expectations.

COIN's stock rose nearly 6.5% in afternoon trade with retail sentiment on Stocktwits improving to 'bullish' from 'neutral' territory and chatter rising to 'high' from 'normal' levels over the past day.

Read also: Bitcoin's 'Uptober' Turns Into 'Downtober' – Analyst Warns Of Potential Pullback To $80K

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