Is Coinbase Partnering Big Banks to Power Next-Gen Crypto Services?

Coinbase Global COIN has always taken strategic steps to bring crypto and traditional banking closer. In its recent initiative, COIN has been engaged in discussions with the largest U.S. banks on pilot programs focused on stablecoins, custody and trading.

If this move succeeds, COIN can ensure a diversified recurring revenue stream.  Also, these will help COIN lower its dependence on volatile trading revenues.

Joining forces with banks is nothing new for COIN. This crypto giant has already collaborated with JPMorgan, Citi and PNC Bank.  COIN collaborated with Citi to develop digital asset payment capabilities for institutional clients. COIN and PNC Bank inked a partnership to address growing demand for secure and streamlined access to digital assets on PNC's trusted platform. Its partnership with JPMorgan will facilitate JPM customers to fund their wallets using JPM’s Chase credit cards and buy cryptocurrency on the exchange starting in fall 2025.

In fact, COIN had applied for a national trust company charter from the U.S. Office of the Comptroller of the Currency on Oct. 7, 2025. But, the Independent Community Bankers of America is against COIN receiving bank charter status.

Coming back to its latest initiative, it seems a favorable regulatory climate has been a tailwind, and so has been the acceptance of digital assets as a banking service. Coinbase stays focused on building a compelling product and service portfolio to be the industry’s premier “everything exchange.”

What About its Peers?

Robinhood Markets HOOD stays focused on accelerating growth through rapid product innovation and global expansion. Robinhood has been engaging in opportunistic acquisitions to deepen its footprint and expand its product reach within the United States and globally. Robinhood also noted that AI features and fast rollouts are increasing engagement, premium monetization and retention, while stronger tools attract both retail and advanced traders. 

Interactive Brokers IBKR continues to explore growth opportunities in the emerging markets of Taiwan, Mexico and India. Given the rapid growth of its European business, Interactive Brokers has substantially expanded its operations there. Interactive Brokers has been undertaking several measures to enhance its global presence.

COIN’s Price Performance

Shares of COIN have gained 10.7% year to date, outperforming the industry.

COIN’s Expensive Valuation

COIN trades at a price-to-earnings value ratio of 44.93, significantly above the industry average of 24.32. It carries a Value Score of F.

Estimates for COIN

The Zacks Consensus Estimate for COIN’s fourth-quarter 2025 and first-quarter 2026 EPS has witnessed no revision in the past seven days. The same holds true for full-year 2025 and 2026 EPS.
 

The consensus estimate for COIN’s 2025 and 2026 revenues indicates year-over-year increases. Though the consensus estimate for the company’s 2025 EPS indicates an increase, the same for 2026 indicates a decline.

COIN stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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