Coinbase announced a significant increase in second-quarter revenue, driven by a resurgence in trading volumes due to market optimism over reduced regulatory challenges. The crypto market received a boost from the U.S. Securities and Exchange Commission’s approval of exchange-traded funds tracking bitcoin and ether, leading to a 2.2% rise in Coinbase’s shares in extended trading.

These approvals followed a decade-long battle with regulators and saw the involvement of major financial firms like BlackRock and Fidelity, enhancing the sector’s credibility. The market capitalization of the crypto sector has now risen to approximately $2.36 trillion, with notable year-to-date gains in bitcoin and ether prices.Coinbase’s transaction revenue soared to $780.9 million in Q2, up from $327.1 million the previous year.