It is math that results from the trading behavior of our clients on our platform. So I can’t give you what we expect in Q3. There’s nothing that we do rather than focus on driving engagement, driving revenue, that is our primary goal. Shifting gears and talking about USDC, as Brian shared earlier, we did see a decline in USDC market cap as a result of the banking crisis in Q1. So I think we all know that when Silicon Valley Bank sale, USDC had a depeg that precipitated a decline in USDC market cap. We are working collaboratively with Circle and to try and stabilize USDC and to grow, and we made our own numerous product initiatives in Q2, to try and engage further. I think, Brian, maybe you want to share again what we think really the opportunity for stablecoins broadly is around these Layer 2 solutions?
Brian Armstrong: Yeah, sure I mean Just one or two other quick comments on the market cap. I think this is public as well, actually moved some of their funds from into another stablecoin. But I think the data we have in the last six or seven weeks, I believe, that the USDC market cap is up net of that. And so that’s an important data point. I think there was also a perception that emerged just about US regulatory risk, and there was sort of this perception that USDC had more of a US nexus than Tether or something like that. And to be honest, I’m not sure how well informed that is because, of course, Tether is storing US dollars as well. And any bank, whether it’s in the US or not that’s storing US dollars kind of needs to have a corresponding bench relationship, and it’s within the nexus or purview of the U.
government. So I think — I’m not sure how well informed that perception was, but it sometimes perception is reality. Yes. I mean, to Alesia’s point, I think that we’re very bullish on stable coins. I think that it’s an important use case. It’s an important stepping stone to getting people access to better financial services. And then ultimately, I think — by the way, longer term, I think we could see Bitcoin and sort of these more deflationary assets start to be used more as currencies and money as well. But today, people have such a high expected upside on it that they’re not willing to spend it in high enough quantity. So anyway, I’ll pause there, but those are our high-level thoughts on the market cap.
Operator: Your next question is from the line of Owen Lau, Oppenheimer.
Q – Owen Lau: Good afternoon. Thank you for taking my question. could you please give us more color on the traction on Coinbase international exchange? I think you have 15 institutions, $5.5 billion in contract volume. So what’s the next step? And when do you expect revenue to be more material? Yeah.
A – Brian Armstrong: Yes. So it’s definitely early days on Coinbase’s Derivative Exchange. We’ve really just kind of launched it in Q2 with a small handful of clients, as you said, really kind of like a beta launch API only. So some of the next steps that we’ll be working on are integrating it into our — our retail app. This advanced trading for retail customers is important. We’ll be launching it in our prime app for institutions. We’ll be expanding it to more geographies as well. And there’s various licensing requirements in the major markets around the world to get that working. Our customers have also asked for features around unified margin and additional kind of financing and leverage-type features. So those are some of the things on the horizon.
You can track the data is public just around the volume of the books that we have there live today on our site, And you can — we’ll also be adding more books. That’s the other thing I should mention. Today, we just have four books live, two of them got added just in the last week or so. We’ll be adding more books as well. So those are all next things that we need to do A lot of work to do to get that to be where we want it to be, and it’s definitely very early days. So we’re not really commenting on the revenue piece of it yet.
Operator: Our next question is from the line of Dan Dolev from Mizuho.
Dan Dolev: Hey, guys. Thanks for taking my question. I really appreciate it. We were talking about the — you mentioned the share gains. But if I look at our data, at least when you compare to some of your key competitors in the US like Robinhood. I mean it seems like you are seeing some share. And my question is, do you think that’s true? And if yes, like is it because the price hikes you’re seeing some pushback from the users, or is there any sense of that? Thank you very much.
Alesia Haas: Thanks for the question, Dan. So as we said, we experiment heavily with any fee change that we roll out to our users, and we’re not seeing any change in behavior based on fee changes that we made in Q1 on our platform. We’re really excited to see Robinhood’s growth in the crypto, we think it broadens the users who are interested in cryptos and asset class. We are heartened to see more and more companies and crypto to their portfolios. One of the ways that we differentiate ourselves is that we’re a crypto native company and that we’re looking to build more crypto-native experiences for our users such as staking is a big one. But then increasingly, the integration to our DAP marketplace and the ability to use applications on chain. So we think that we offer a differentiated product suite. And that, over time, this will really attract and grow users to our platform.
