XRP Surpasses Ethereum in Revenue on Coinbase
In Q2 2025, XRP accounted for 13% of Coinbase consumer transaction revenue, surpassing Ethereum’s 12%. Bitcoin still dominates at 34%, but XRP’s rapid growth is drawing attention. At one point in the quarter, XRP’s revenue share spiked to 18%, reflecting a sharp increase in retail demand.
This is a major turnaround for XRP, which was suspended from Coinbase for more than two years due to the SEC lawsuit. Since its relisting in July 2023, XRP's appeal to traders has skyrocketed.
Why Does XRP Generate More Revenue Than Ethereum?
Several key factors explain why XRP has now surpassed Ethereum in Coinbase revenue:
Retail Trading Surges: XRP Price Rises More Than 60% in July, Reaching $2.92, Attracting Massive Interest from Retail Investors.
ETF Rumors: Speculation about a potential XRP spot ETF by year-end has fueled market optimism.
Whale Accumulation: On-chain data shows significant whale activity supporting XRP's bullish trend.
Regulatory Clarity: Evolving US legislation such as the GENIUS Act and previous legal victories have boosted confidence in XRP’s long-term future.
Despite a 30% drop in total spot trading volume and a 39% drop in trading revenue across the platform, XRP’s retail-driven rally helped offset Coinbase’s earnings decline in Q2.
XRP's momentum extends into the first half of 2025
Coinbase data shows that XRP's share of trading revenue increased to 16% in the first half of 2025, while Ethereum's continued decline to just 11%. This change is especially notable given that XRP was previously absent from Coinbase due to regulatory concerns.
“The irony is too great to ignore: XRP, once delisted, is now surpassing Ethereum in revenue generation,” noted crypto lawyer Bill Morgan .
Coinbase's Non-Trading Revenue Growth
Coinbase’s Q2 revenue totals paint a mixed picture. Despite the struggles in trading revenue, the company reported a net profit of $1.43 billion, up from $66 million in Q1. Here’s the breakdown:
BTC Accumulation: Coinbase added 2,509 BTC in Q2, spent $222 million, and now holds $1.3 billion in Bitcoin, becoming one of the top public BTC holders globally.
Stablecoin Revenue: Up 44% YTD, Despite US Rate Cuts.
Ethereum Layer 2 Growth: Coinbase's underlying network and ETF custody services have contributed to income diversification.
Strategic Expansion: Plans are in the works to support crypto stocks, prediction markets, and token launches.
“Very excited about our next goal: becoming the exchange for everything,” said Coinbase CEO .
XRP Helps Coinbase Maintain Resilience
While Ethereum struggles to maintain its revenue share, XRP has emerged as a formidable rival to Coinbase in both trading activity and investor attention. This shift reflects the changing dynamics of cryptocurrency trading behavior, especially on retail-focused platforms like Coinbase.
If this trend continues, XRP could play a key role in Coinbase’s revenue strategy going forward, especially as the company focuses on a crypto-first future.