Research

Analysis: Binance brought in $446 million in profits in 2018 despite the bear market

Quick Take

  • In 2018, despite the bear market, the exchange delivered $446 million in profits; less than the CEO’s projections
  • Profits declined sharply in the second half of 2018 as a result of declining trading volume and larger investments in infrastructure
  • Coinbase likely had smaller profits despite projecting $456 million in October

Binance CEO Changpeng ‘CZ’ Zhao told Bloomberg in early July that he expected the exchange’s net profit to be between $500 million and $1 billion in 2018. However, based on The Block’s calculations the firm was a bit shy of hitting the low-end of CZ’s prediction, bringing in a total of $446 million.