Coinbase proposes to launch a subscription service that will allow users to trade commission-free with a subscription

In a statement released Wednesday local time, Coinbase said:- "We've been actively exploring how to best serve our customers in different ways." "We are still in the early stages, so everything related to the future product experience will depend on the feedback we receive from our users."

Coinbase is testing adjustments to its fee structure due to increasing competitive pressure from companies like Robinhood (NASDAQ:HOOD), which pioneered a trading model that does not charge commissions on transactions and has quickly gained a large number of new users, with cryptocurrencies now accounting for more than half of Robinhood's trading revenue, according to statistics.

Oppenheimer analyst Owen Lau said subscriptions could help make Coinbase's earnings more predictable, and that Coinbase's lack of clear earnings guidance is largely due to the unpredictability of its revenue, which is often tied to bitcoin prices and market sentiment, making earnings unsustainable.