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Moody’s has downgrades Coinbase corporate family rating from Ba2 to Ba3 due to “substantially weaker revenue” and declines in trading activity. The rating agency said in a blog post that the exchange’s profitability remains challenged despite the recent layoffs of around 1,100 employees.
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Moody’s notes should the market decline further, it will likely result in lower transaction revenue for the remainder of the year, absent a significant sustained rebound in crypto prices and trading volumes.
“[…] the downgrade also reflects Coinbase’s lack of revenue diversification and an operating expense base that may be less flexible than Moody’s previously anticipated,” the announcement says.
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The New York-based rating agency says it might downgrade Coinbase’s rating even lower should it conclude that the exchange’s profitability will continue to be significantly challenged in the current or lower crypto asset price and trading volume environments or if there is evidence that Coinbase’s expansion has limited its expense flexibility.
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Источник: ru.ihodl.com
