Coinbase execs sell $2.2 billion of COIN shares as trading revenue plunges
Coinbase executives have said they plan to sell up to 13.59 million shares of COIN, worth about $2.2 billion, sparking fears of possible insider selling at the top cryptocurrency exchange. The disclosure includes CEO Brian Armstrong, co-founder Fred Ehrsam and President Emilie Choi, who have set up predetermined stock trading arrangements through 2027. The announcement comes as Coinbase is struggling with falling quarterly trading revenue, while continuing to build out its cryptocurrency investments with further Bitcoin purchases.
Coinbase Execs File Plans to Sell 13.6 Million Shares
According to Coinbase’s SEC filing for September 2026, three of the company’s top executives have established trading plans for some 13.59 million shares. Based on COIN’s closing price of $160.59 on October 29, the identified shares are estimated to be worth $2.18 billion.
Brian Armstrong makes up the largest chunk of the proposed sales. His trading arrangement includes up to 8.17 million shares acquired via vested stock options. The company adopted the plan on Aug. 12, 2026, which permits the transactions to occur from Nov. 16, 2026, to Oct. 22, 2027, under prearranged pricing conditions.
Armstrong has sold stock before, including about $101 million of shares in January. The proposed transaction follows previous stock sales by Armstrong. But the newly disclosed arrangement is a separate trading plan for potential future transactions.Fred Ehrsam and Emilie Choi are planning to sell their shares. Fred Ehrsam and Emilie Choi have also made arrangements to trade millions of shares of Coinbase.
The plan adopted on September 4, 2026 covers approximately 3.87 million shares of Ehrsam. His selling window opens Dec. 7, 2026 and closes June 7, 2027. The shares are held through his living trust and can be converted from Class B stock to tradable Class A shares.
In the meantime, on September 8, 2026, Emilie Choi adopted her arrangement. Her plan relates to some 1.56 million identified shares, with the possibility of more shares becoming eligible as they vest. Her trading window opens January 4th, 2027 and closes December 31st, 2027.
All the executives are using Rule 10b5-1 trading plans, which provide prearranged instructions for stock trades. Such arrangements allow executives to make planned sales under previously established conditions.
Coinbase Trading Revenue 35% Lower Year-Over-Year
The planned insider sales come as trading performance is weaker. Coinbase said trading revenue fell 35% year-over-year to about $1.22 billion in the quarter, while transaction revenue fell to $590 million.
Shares of COIN got hammered in the wake of its quarterly earnings report, falling more than 13.05% to $139.64. Trading activity slowed but the company posted $719 million in revenue, helped in part by $715 million in gains from its cryptocurrency investments. Net income, after adjustment, was $78 million.
Coinbase also repurchased 37,995 shares in August, leaving about $1.96 billion remaining on its existing share repurchase authorization.
Coinbase Buys $1.5 Billion of Bitcoin
Coinbase kept increasing its crypto exposure even as trading revenue declined. The company purchased 643 Bitcoin in the quarter for approximately $1.5 billion, increasing its total Bitcoin holdings to 17,954 BTC.
It also had 152,649 ETH in its Ethereum investment portfolio, valued at about $2.22 billion.
During the earnings call, Armstrong was very confident in Bitcoin, implying Coinbase probably bought its 18,000th BTC. He also cited growing demand by customers who want to borrow against their Bitcoin holdings rather than selling their assets.
The $2.2 Billion Coinbase Share Sale: What It Means
The planned insider sale of $2.2 billion of shares comes as Coinbase is facing lower transaction revenue but ramping up investments in cryptocurrency. But the disclosed Rule 10b5-1 plans don’t necessarily mean all shares will be sold.
The actual transactions will be subject to pre-set conditions and trading schedules. Investors will probably monitor insider selling, revenue in the quarter, Bitcoin accumulations and share price moves at COIN to get a read on the financial outlook of the company.
