Coinbase Global recently received a Financial Services Permission from Abu Dhabi's FSRA to establish an international tokenization hub in ADGM, enabling it to arrange deals in investments and provide custody for tokenized, fully backed securities.
• This move creates a regulated onchain venue where investors can hold tokenized equities directly in wallets with full shareholder rights, while allowing sanctions screening and wallet-level asset freezes to align DeFi activity with regulatory requirements.
• We'll now examine how Coinbase's new ADGM-based tokenization hub interacts with its existing token platform narrative and recent earnings pressure.
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To own Coinbase today, you generally need to believe that onchain finance will keep expanding and that Coinbase can turn its tokenization, custody and payments stack into durable, less cyclical revenue. The new ADGM tokenization hub fits this thesis, but it does little to change the immediate picture of earnings pressure after a weak Q2 and ongoing reliance on trading volumes, which remain the key near term catalyst and the clearest risk to the business.
The ADGM move also ties into Coinbase's recent push into real world asset use cases, such as token backed mortgages launched with Better Home & Finance in March 2026. Both initiatives highlight how Coinbase is trying to widen its addressable market beyond pure crypto trading into tokenized securities and credit products, which could matter over time if diversification away from transaction fees becomes more important than index removals or share buybacks.
Yet even as tokenization opens new avenues, investors should be aware of how fee compression and DeFi competition could still...
Read the full narrative on Coinbase Global (it's free!)
Coinbase Global's narrative projects $8.5 billion revenue and $2.1 billion earnings by 2028. This implies 8.3% yearly revenue growth but an earnings decrease of $0.8 billion from $2.9 billion today.
Uncover how Coinbase Global's forecasts yield a $383.46 fair value, a 162% upside to its current price.
More optimistic analysts already projected Coinbase's revenue could reach about US$9.6 billion and earnings US$2.9 billion by 2029, but this ADGM tokenization step and the ongoing DeFi threat to centralized exchanges show how differently you and those analysts might view the same company's future path.