Morning Minute: Coinbase Misses Earnings on Shock Loss – Decrypt

Morning Minute is a every day publication written by Tyler Warner. The evaluation and opinions expressed are his personal and don’t essentially mirror these of Decrypt. And check out our new every day information present masking all the high tales in 5 minutes or much less, downloadable on Apple Pod or Spotify.

GM!

At the moment’s high information:

• Crypto majors fall one other 1-2% whereas shares are inexperienced; BTC at $80.2k
• Coinbase misses earnings with a shock internet loss; prediction markets are booming
• Tom Lee says his ETH shopping for could sluggish as he approaches 5%
• AWS launches new system with Coinbase and Stripe to let AI brokers use stables
• Tether’s Medical AI mannequin QVAC MedPsy crushes benchmarks, can run on a wise telephone

📉 Coinbase Misses Earnings, However Prediction Market Booms

Coinbase reported Q1 2026 earnings on Thursday after the bell and the headline numbers had been tough.

• Income got here in at $1.41 billion towards a $1.48 billion consensus, a 31% year-over-year decline.
• The EPS was a internet lack of $1.49 per share towards analyst expectations for a $0.27 revenue (huge miss)
• Shopper transaction income fell 45% year-over-year to $734 million.
• Working bills rose 22% to $1.5 billion.

COIN fell 4% in after-hours buying and selling.

However on the constructive facet, institutional transaction income grew 31% year-over-year to $185 million, pushed by file Deribit derivatives volumes. And prediction markets have develop into Coinbase’s fastest-scaling product ever, reaching $100 million in annualized income in lower than two months. Retail derivatives crossed $200 million annualized.

Coinbase additionally disclosed a brand new all-time excessive in crypto buying and selling quantity market share, which means it’s taking share from opponents at the same time as the general market is down. CEO Brian Armstrong mentioned on the decision: “The short-term macro surroundings was difficult, however the underlying enterprise has by no means been stronger.”

The query heading into Q2 is whether or not the structural merchandise (derivatives, prediction markets, stablecoins, agentic funds) can develop quick sufficient to offset the charge compression in spot buying and selling.

🥶 Tom Lee Is Slowing Down His ETH Buys

Tom Lee advised traders Thursday that Bitmine could start slowing its Ethereum purchases because the agency approaches the 5% of whole ETH provide goal it set when it launched its treasury technique.

Complete holdings now stand at roughly 5.18 million ETH, value roughly $11.8 billion at present costs and representing 4.29% of Ethereum’s whole provide. The agency has 84% of its holdings staked via its MAVAN validator community, producing roughly $297 million in annualized staking income.

The transfer is sensible as he approaches his goal of 5%, however nonetheless—markets received’t prefer it. Tom Lee has been the first institutional purchaser of ETH for months now. And that bid is disappearing.

Appears prefer it is likely to be retail’s flip to step up and take over the shopping for…

💰 AWS Simply Put Stablecoin Funds Inside Enterprise AI

Amazon Net Companies launched a brand new system constructed with Coinbase and Stripe that lets AI brokers use stablecoins to autonomously pay for APIs, knowledge feeds, internet content material, and MCP servers throughout process execution, with out human intervention per transaction.

It’s the first time a significant cloud supplier has natively built-in crypto cost rails into enterprise AI infrastructure.

Coinbase Head of Infrastructure Progress Brian Foster commented: “Enterprises have been telling us the identical factor: They need brokers that may transact, however they’ll’t get previous authorized and compliance overview. AWS builders can now give their brokers monetary autonomy in a complete managed answer.”

The preliminary launch covers micropayments for APIs, MCP servers, and paywalled content material. Future variations will help resort bookings, journey reservations, and broader service provider purchases, and Warner Bros. Discovery is already testing it for premium content material transactions.

The race to construct infrastructure for agentic commerce heats up…

🧑‍⚕️ Tether Simply Launched a Medical AI That Matches in Your Pocket

Tether’s AI workforce launched a medical AI mannequin Thursday referred to as QVAC MedPsy that runs immediately on a smartphone—no web connection, no cloud server, no knowledge leaving your machine. Consider it as a medical-grade AI assistant that lives totally in your telephone.

MedPsy is constructed for psychiatric and medical evaluation. It may assist consider signs, help scientific decision-making, and help with psychological well being screening—the type of duties that usually require a specialist, a hospital portal, and a knowledge connection. The mannequin is designed to work in rural clinics, low-bandwidth environments, discipline drugs, and wherever else the place web entry is unreliable or affected person privateness is non-negotiable. As a result of all the pieces runs domestically, no affected person information, diagnostic queries, or scientific notes ever contact an exterior server.

The efficiency is the place MedPsy actually shines, outperforming medical AI fashions which might be 16 instances bigger in current benchmarks. To place that in context—most AI will get smarter by getting greater, requiring extra computing energy and extra infrastructure. Tether constructed a mannequin that punches effectively above its weight by specializing in effectivity relatively than measurement, making it sufficiently small to run on a telephone whereas remaining correct sufficient for scientific use.

Tether’s investments exterior of crypto proceed to repay. And all of us stand to learn…

🌎 Macro Crypto and Markets

• Crypto majors are purple down one other 1-2%; BTC -1% at $80.2k; ETH -2% at $2,290; SOL -1% at $88.6; HYPE -1% at $42.5
• Ondo (+15%), NEAR (+5%), INJ (+5%) and VVV (+5%) led high movers
• Oil rebounded 2% at $94.5; Gold -0.2% at $4,720
• Inventory futures are inexperienced forward of the April jobs report
• The Senate Banking Committee is anticipated to current a Readability Act markup as early as tomorrow, with draft legislative textual content already circulating to pick trade stakeholders forward of a possible Thursday vote
• Tether Head of Authorities Affairs Jesse Spiro warned at Consensus Miami that the November midterms may have a “seismic influence” on the trade’s trajectory, doubtlessly reversing the regulatory progress remodeled the previous yr if the stability of energy in Congress shifts
• Kraken guardian Payward agreed to accumulate Hong Kong-based Reap Applied sciences for $600 million, a stablecoin funds and company card infrastructure agency working throughout Southeast Asia
• Tether has frozen $515M of USDT throughout Ethereum and Tron over the previous 30 days
• JP Morgan analysts venture that Saylor’s Technique may purchase $30B value of BTC this yr

Company Treasuries & ETFs

Meme Coin Tracker

• Meme leaders had been combined; DOGE -3%, SHIB even, PEPE even, PENGU -2%, TRUMP even, BONK +1%, SPX -1%, FARTCOIN -3%
• Hanta (+300%), Hentai (+400%), and Bull (+20%) led notable movers
• The Hanta memecoin rallied after Pump founder Alon tweeted it as a technique to earn cash off the virus, evaluating the meme to prediction markets

💰 Token, Airdrop & Protocol Tracker

• Solv Protocol introduced that it’s going to migrate $700M+ in tokniezed Bitcoin infra from LayerZero to Chainlink following the KelpDAO exploit
• Hyperliquid added a 2nd prediction market to its Outcomes, each releated to BTC worth

🚚 What is going on in NFTs?

• NFT leaders are barely inexperienced on the day; Punks even at 31 ETH, BAYC +2% at 9.99 ETH, Pudgy even at 5.28 ETH; Hypurr’s -1% at 335 HYPE
• Slonks (+8%), Kodas (+9%) and Reward of Time (+14%) led notable movers