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Crypto World

Bitcoin Drop Wipes $10 Billion From Brian Armstrong’s Net Worth

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Coinbase (COIN) Stock and Bitcoin (BTC) Price Performances

Brian Armstrong, co-founder and CEO of Coinbase, has dropped out of Bloomberg’s list of the world’s 500 richest people.

Armstrong’s net worth has fallen by more than $10 billion since July 2025. According to the Bloomberg Billionaires Index, it is down from a peak of $17.7 billion to around $7.5 billion.

Brian Armstrong’s Wealth Plummets as Coinbase Shares and Bitcoin Price Slide

The latest slide comes after JPMorgan Chase & Co. cut its price target for Coinbase stock by 27% on February 10, citing “softness in crypto prices,” declining trading volumes, and slower stablecoin adoption.

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Coinbase shares have mirrored Bitcoin’s volatility, falling 60% from a July 18 high, while Bitcoin itself has dropped nearly 50% from its early October 2025 all-time high of around $126,000 to below $63,000 as of early February 2026.

Coinbase (COIN) Stock and Bitcoin (BTC) Price Performances
Coinbase (COIN) Stock and Bitcoin (BTC) Price Performances. Source: TradingView

Armstrong’s wealth is closely tied to his 14% stake in Coinbase, the New York-based crypto trading platform he co-founded with Fred Ehrsam in 2012.

He also holds investments in NewLimit, a biotech startup focused on longevity, and has historically sold portions of his Coinbase holdings over time.

Despite the sharp paper losses, Armstrong remains a billionaire, with his net worth estimated at approximately $7.5 billion.

The impact of the crypto slump extends beyond Armstrong. Cameron and Tyler Winklevoss, co-founders of Gemini, have seen their net worths fall to $1.9 billion each from $8.2 billion in October 2025.

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Gemini recently announced plans to cut roughly 25% of its workforce and scale back some international operations.

Michael Novogratz, CEO of Galaxy Digital, saw his fortune shrink from $10.3 billion to $6.2 billion following a greater-than-expected $500 million loss in Q4 2025.

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Strategy Inc. co-founder Michael Saylor also lost about two-thirds of his wealth, bringing his net worth to $3.4 billion.

Coinbase Navigates Market Headwinds While Armstrong Stays Bullish

Coinbase itself has faced operational headwinds amid the market downturn. Trading volumes have dropped sharply, and Q4 2025 transaction revenue is projected to decline 33.5% year over year.

Meanwhile, Polymarket betters see a 29% chance that Coinbase Global’s GAAP EPS for the relevant quarter will beat $0.61.

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Coinbase Earnings Projections
Coinbase Earnings Projections. Source: Polymarket

During the sell-off, the “Coinbase premium”—the price gap between BTC on Coinbase versus other exchanges—turned negative. This indicates weaker US institutional demand and potential outflows.

The exchange is further challenged by regulatory scrutiny and competition from other crypto platforms like Hyperliquid.

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Despite the turbulent environment, Armstrong has maintained a bullish long-term outlook. He has publicly described crypto as “eating financial services at an incredible rate” and views market slumps as opportunities to build new products.

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Armstrong has also predicted that Bitcoin could reach $1 million by 2030, framing the digital asset as a tool for wealth equalization and financial innovation.

However, while Armstrong’s net worth has been heavily impacted, his position as a founder and major shareholder could strengthen over time.

Historically, downturns have consolidated power among surviving platforms, and Coinbase may emerge leaner and more dominant if retail and institutional adoption rebounds.

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Nevertheless, prolonged market weakness or a full “crypto winter” could pressure growth and test leadership strategies.

The recent wave of losses reflects the high volatility of crypto markets. While Armstrong’s exit from Bloomberg’s top 500 reflects a sharp contraction in paper wealth, long-term crypto pioneers like him have weathered multiple market cycles since 2012.

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Crypto World

EDX Markets Applies for OCC Trust Bank to Expand Crypto Services

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Coinbase, Banks, Ripple, BitGo, United States, Paxos

EDX Markets, an institutional crypto exchange, has applied to the US Office of the Comptroller of the Currency (OCC) to establish a national trust bank that would provide crypto custody, asset management and trade-settlement services.

The proposed entity, EDX Trust, would operate as a non-depository national bank, separating custody and settlement from trading while continuing to route order matching through EDX’s existing platform.

In its application, the company said the model is intended to address structural risks in crypto markets, where trading, custody and brokerage are often combined within a single platform, creating potential conflicts of interest and single points of failure.

EDX said the trust bank would provide fiduciary asset management services, invest client cash and stablecoin balances in highly liquid assets, and facilitate trading through a riskless principal model with end-of-day net settlement.

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The bank would operate online from Chicago and target institutional clients such as broker-dealers, futures commission merchants and registered investment advisers, according to the filing.

EDX said moving these functions into an OCC-chartered entity would allow it to offer services nationwide under a single regulatory framework while meeting custody requirements for regulated institutions.

Founded in 2022, EDX Markets is backed by traditional market participants including Citadel Securities, Virtu Financial, Fidelity Digital Assets and Hudson River Trading.

Coinbase, Banks, Ripple, BitGo, United States, Paxos
EDX Markets Holding Company trust bank application for digital asset activities. Source: OCC

Related: Fed’s Barr backs stablecoin clarity but warns of run risks

Crypto companies seek US bank charters

The application comes as crypto and financial companies increasingly pursue national trust bank charters to expand institutional services under federal oversight.

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Earlier this month, Zerohash, a blockchain infrastructure company, applied for a US national trust bank charter to expand its stablecoin and custody services for banks, brokerages and fintechs.

Coinbase, Banks, Ripple, BitGo, United States, Paxos
Source: Zerohash

Other recent applicants include Coinbase, which applied in October and is still awaiting a decision, as well as Laser Digital and Payoneer, which filed applications earlier this year to expand custody and stablecoin-related payment services.

Traditional financial institutions are also entering the space. In February, Morgan Stanley applied for a de novo trust bank charter to support digital asset services through a separate entity.

At the same time, the OCC has continued approving applicants, issuing conditional licenses last month to Bridge, Stripe and Crypto.com, following approvals in December for Ripple Labs, Circle Internet Group, Fidelity Digital Assets, Paxos and BitGo.

However, the pace of approvals has drawn scrutiny. In February, the American Bankers Association urged the OCC to slow the process, citing unresolved oversight under pending US stablecoin legislation.

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Magazine: A newbie’s guide to surviving crypto winter