coindesk.com
Ratings agency Moody’s has downgraded Coinbase’s (COIN) corporate debt and also placed its debt ratings for the crypto exchange under review for further downgrade.
Moody’s said the move reflects “Coinbase's substantially weaker revenue and cash flow generation due to the steep declines in crypto asset prices that have occurred in recent months and reduced customer trading activity.”
Moody’s said it expects Coinbase’s profitability to remain challenged despite announcing the layoffs of around 1,100 employees on June 14.
Coinbase shares were down 0.3% to $58.88 after hours on Thursday after rising 13% during the day.