The British arm of the U.S. cryptocurrency exchange Coinbase saw a sharp downturn in business in 2019, with annual profits dropping by nearly a quarter year on year as a result.
- In a filing with the U.K.'s business registrar Companies House on Tuesday, Coinbase UK reported turnover of €94.8 million ($114.9 million) in 2019, down 38% from €153 million ($185.6 million) in 2018.
- The turnover is derived from its cryptocurrency exchange service and debit card service, per the filing.
- Coinbase UK reported after-tax profits of €5.1 million ($6.2 million) in 2019, down by 22.5% from €6.6 million ($7.9 million) the year before. Numbers have been rounded off.
- According to the filing, Coinbase had no U.K. staff incurring costs in 2019 or the previous year, suggesting the local exchange operation is run entirely from its California headquarters.
- Despite the drop in turnover, the aggregate value of customer funds held in wallets was €1.493 billion ($1.81 billion) at the close of 2019, up significantly from €741 million ($898.5 million) on Dec. 31, 2018.
- The exchange said it will continue to monitor the UK’s departure from the European Union, the so-called Brexit, which will have an impact on the digital exchange's operational structure.
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