Coinbase CEO Brian Armstrong called for calm after the company’s stock fell on Wall Street, defending the company as experiencing one of its strongest periods (according to him) despite the stock market decline.
In a message published on the X social network on February 17, 2026, the manager stated that “Coinbase and cryptocurrencies are in a stronger position than ever before.” Furthermore, the American businessman said: Traditional markets will underestimate the scope of the business and the role it plays in transforming the financial system.
Armstrong said that during a session with analysts, he answered a question about why Coinbase is often “misunderstood and undervalued” on Wall Street. In his opinion, The company represents a classic case of the so-called “innovation dilemma.”where disruptive technologies create resistance among existing actors.
The world’s biggest disruptive innovations follow this pattern. Look at examples like Uber, Airbnb, self-driving cars, the introduction of artificial intelligence, and even SpaceX vs. NASA. Cryptocurrencies are directly disrupting Wall Street, so it’s no wonder some on Wall Street have misconceptions about them and Coinbase. The smartest people will adopt them. The stragglers will be left behind.
Brian Armstrong, founder and director of Coinbase.
As Armstrong explained, while relevant departments at major financial institutions have already introduced services related to cryptocurrencies, other departments remain skeptical. This division is due to economic incentives and Inertia typical of traditional financial systems.
Operating results and stock market pressure
Beyond the strategic narrative, Armstrong defended: The company’s fundamentals show decent progress. Over the past three years, the exchange has expanded and diversified its business areas and reduced its exclusive reliance on trading fees. Recall that Coinbase is the primary custodian of Bitcoin (BTC) and Ether (ETH) supporting ETFs, as reported by CriptoNoticias.
In the same X post, the CEO reported: Coinbase’s total trading volume increased by 156% YoY And its market share has doubled. Similarly, he asserted that the assets stored on the platform have tripled in three years and now has 12 products, each generating more than $100 million annually. The company also reported that metrics related to USDC and its Coinbase One subscription service hit record highs.
Armstrong added that the figure, which is based on GAAP accounting principles (Generally Accepted Accounting Principles in the United States), includes unrealized gains and losses on cryptocurrencies held on the balance sheet, which can impact the net income measurement. He said the company would have ended the final quarter in the black if the adjusted results had been adhered to. Even in a bear market environment.
Market perception is different
Despite this data and the optimism Mr. Armstrong is trying to convey, the price of Coinbase (COIN) stock is This continues to reflect investor disappointment.
The nearly 50% drop compared to the previous high (reached on July 18, 2025) shows that some in the market still have doubts about the sector’s valuation and the pace of consolidation.
The contrast between performance and stock market movements leaves room for debate as to whether current prices are responding to temporary undervaluation (as Armstrong believes) or to real structural risks perceived by Wall Street in the crypto ecosystem.
In this context, it cannot be overlooked that its collapse coincides with a moment of crisis. Direct conflict of interest between Coinbase and the traditional banking system (This is a big deal for Wall Street) especially when it comes to regulating stablecoins and exploring legal frameworks such as transparency laws.
For Coinbase, stablecoins (such as USDC) are fundamental, but for traditional banks they represent a threat to their monopoly.
The lack of clear definition in Washington about who can issue these assets and on what terms has created regulatory bottlenecks that Wall Street giants use to justify skepticism or buy time while they try to launch their own alternatives.
