The Trade That Just Paid Off Big

Let’s talk about Coinbase (COIN) — a stock that’s been quietly building strength and just gave our SMG community a great win.

A lot of people think of Coinbase as “just a crypto exchange.” But if you go deeper, it’s more than that. Here’s how I look at it from an investment standpoint:

🧠 1. Coinbase = Picks & Shovels in the Crypto Gold Rush

Coinbase doesn’t need to guess which token will win. It just needs volume. Whether it’s BTC, ETH, memecoins, or tokenized assets — as long as people are transacting, Coinbase makes money.

Just like how Shopify enables e-commerce or how Visa enables transactions, Coinbase is infrastructure for crypto. That’s powerful.

📈 2. Regulatory Advantage

Yes, regulation is a concern in the crypto space — but Coinbase is the most regulated player in the game.

That’s an edge. When the SEC cracks down, it's usually the unlicensed players who get hit. If the industry consolidates around compliance and transparency, Coinbase wins by default.

🏦 3. Strong Balance Sheet & Institutional Push

Coinbase ended Q1 with over $8 billion in cash, and positive EBITDA. It’s not flying blind.

More importantly, big institutions are increasingly entering the crypto space — and guess who they’re most comfortable working with? Yep — Coinbase. BlackRock, Ark Invest, and many others have already partnered with them.

🔄 4. Recurring Revenue & Product Expansion

It’s not just trading fees anymore. Coinbase has built out:

• Custody services for institutional clients

• USDC revenue (they co-issued this stablecoin with Circle)

• Staking & wallet services

• Base L2 chain, giving them optionality in Web3 infrastructure

This means Coinbase is slowly shifting into a multi-vertical fintech/crypto company, not just a brokerage.

⏱️ 5. Timing Matters: The Cycle Is Turning

Crypto follows a four-year cycle driven by halving events and liquidity flows.

We’ve just had the 2024 Bitcoin halving, and we’re seeing:

• Increasing ETF inflows

• Higher developer activity

• Rising public awareness

• Corporate interest in on-chain infrastructure

Historically, Coinbase stock has outperformed Bitcoin itself in early bull runs. And that’s exactly the window we’re in.

So… How Did the Trade Go?

Glad you asked.

On Tuesday’s SMG live webinar, I highlighted Coinbase as a top swing idea.

📸 Fast forward a few days, and here’s the P/L from that idea:

✅ +$10,994 total
✅ 118% on one trade
✅ +44% on another

This was shared live, and I even explained why the setup made sense.

One of our members asked me,
“Pete, how did you know COIN was going to spike?”

My answer?
🤷‍♂️ I didn’t know!
But I knew it was a solid business, and the market setup was right.

🎥 You can still watch the full replay here (public for a limited time):
👉 https://investwithpete.teachable.com/courses/smg/lectures/61978880

I break down:

• Why the market is stronger than it looks

• How I evaluate trades like COIN

• What I’m watching for next week

If you want more of this kind of insight every week — not just hype, but real strategies with trade-level detail — you know where to find us.

✅ Want Access to More Trades Like This?

If you found value in that one trade idea — imagine getting a new batch of curated trade ideas every week, complete with analysis, charts, and risk-reward setups.

That’s what Stock Market Genius (SMG) is all about.
Join the community that’s built for serious investors — not just hype.

👉 Learn more & join SMG here

Let’s make the next trade a winner.

Happy Hunting!

Pete
Invest with Pete

🚨‼️ By the way, I’ll never PM anyone on telegram or any other social media platforms. If you receive any “Pete” messaging you, these are scammers impersonating me. Pls beware!

The information provided in this newsletter is for informational purposes only and does not constitute financial advice. Readers should seek their own independent financial advice before making any investment decisions. Please note that while Pete is a portfolio manager, the opinions expressed in this newsletter are his own and do not represent the views of any organization. Always perform your own research and due diligence before investing.