Deutsche Bank initiated coverage of Coinbase Global Inc. (NASDAQ: COIN) with a Buy rating and a $340 price target, citing the company's expanding role within the broader on-chain financial ecosystem.

The analyst said Coinbase is positioned to benefit from the next phase of its evolution by leveraging its established market presence into a broader “everything exchange” platform. This strategy is expected to significantly expand the company's addressable markets across both retail and institutional clients, diversify revenue streams, and reduce reliance on pricing from retail crypto trading.

Deutsche Bank highlighted the growing convergence of traditional finance and decentralized finance, along with increasing individual adoption of on-chain platforms, as long-term tailwinds. While 2025 was characterized as a heavy investment year, with core expenses expected to grow more than 20% and adjusted EBITDA declining over 10%, the firm believes the most intensive phase of investment has passed.

With numerous product and service developments announced during the year, Deutsche Bank expects Coinbase to be better positioned to scale operations in 2026 and beyond. In constructive crypto markets, revenue growth is expected to outpace expense growth, enabling at least modest EBITDA margin expansion. Key growth areas cited included the Base App, institutional crypto services, enhanced on-chain retail banking, prediction markets, and expanded trading capabilities.