Coinbase (NASDAQ:) shares dropped more than 9% after-hours following the company’s reported , with EPS of ($1.98) coming in significantly worse than the consensus estimate of $0.05. The consensus estimate for $1.5 billion was missing revenue, which came in at $1.16 Billion.

In Q1, the trend towards lower volatility and crypto assets prices that started in late 2021 had a negative impact on results. Quarter-over-quarter, monthly transactions users (MTUs), fell 19% to 9.2million. The total volume of trading fell by 44%, to $309Billion quarter-overquarter. It was also consistent with the wider crypto spot market’s 44% decrease. Revenue from subscriptions and services decreased by 29% quarter over quarter to $152million in Q1.

Company provided Q2/22 outlook. It expects MTUs to decline and total trading volume will decrease in Q2. The company expects that subscription and service revenue will be comparable to or slightly lower in Q2 than Q1.

Now, the stock has fallen 74% since its 2021 IPO.

By Davit Kirakosyan