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    James Yarrow • Goldman Sachs

    James Yarrow's questions to Coinbase Global Inc (COIN) leadership

    James Yarrow's questions to Coinbase Global Inc (COIN) leadership • Q2 2025

    Question

    James Yarrow of Goldman Sachs asked about the dynamics of yield on stablecoins under the Genius Act, noting the distinction between prohibited interest and permitted rewards, and questioned if users might eventually prefer tokenized money market funds.

    Answer

    CEO Brian Armstrong and CFO Alesia Haas both emphasized that Coinbase pays 'rewards' for platform engagement, not 'interest,' and as a non-issuer, they plan to continue this as a key differentiator. Haas added that for users, the primary driver will be utility and network effects, making the specific underlying asset less important as long as it is widely accepted.

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    James Yarrow's questions to Coinbase Global Inc (COIN) leadership • Q2 2025

    Question

    James Yarrow of Goldman Sachs questioned the dynamics of stablecoin yield, asking about the distinction between interest (prohibited by the Genius Act) and rewards, the evolution of yield on stablecoins, and whether users might prefer tokenized money market funds instead.

    Answer

    CFO Alesia Haas clarified that Coinbase's rewards program is structured as a loyalty incentive for overall platform engagement, not as interest on a deposit. She argued that users will ultimately prioritize an asset's utility and network effect. CEO Brian Armstrong reinforced this, stating that Coinbase is not the issuer of USDC, does not pay interest, and plans to continue offering its competitive rewards program.

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