Coinbase, Robinhood and Other Crypto Exchange Stocks Tumble as Binance Hack Exposes Vulnerabilities

Top crypto exchange stocks extended their steep decline as Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH), and leading altcoins fell, and investors reacted to the $6.3 billion Binance hack. The breach exposed vulnerabilities that could affect other companies across the crypto industry.

Crypto Exchange Stocks Dived After the Binance Hack

Coinbase (NASDAQ:COIN) stock dropped to $136 on Friday, its lowest level since February 2024 and 70% from its all-time high. Bullish (NYSE:BLSH) fell for six consecutive weeks, reaching a low of $23.90, down sharply from last year’s high of $117.86. 

Robinhood (NASDAQ:HOOD) fell to $84.9, also much lower than last year’s high of $154. Other top companies in the crypto industry, like Gemini, Galaxy Digital, and SoFi, also continued to fall. 

The sell-off was driven by the $6.3 billion Binance hack, which has shaken the industry. According to Binance, the attack began when a hacker gained access to its systems through a compromised laptop. The attackers then authorized transactions through a multi-signature protocol called EIP-7702, which gave them access to the exchange’s hot wallet. The unauthorized transactions spanned 10 blockchains.

The hack, which is the biggest in history, is a sign that hackers are getting more sophisticated, a move that may affect other exchanges in the future. Other top cryptocurrency exchanges have gone through other types of hacks in the past. For example, in 2025, hackers siphoned $1.5 billion from Bybit after Lazarus Group compromised its Safe Wallet.

Most recently, Bitget suffered a $387 million hack after attackers gained access to its wallet environment by exploiting zero-day flaws in third-party security appliances. They planted a web shell on one appliance, moved laterally to the production wallet job server, and deployed malicious packages and a custom withdrawal tool.

These events mean that no crypto exchange is safe and that, in some instances, hackers have the upper hand. 

Coinbase and Robinhood are Being Hurt by the Crypto Winter

The Binance hack coincided with the earnings season, which showed that top companies like Coinbase and Robinhood were hurt by the crypto winter. 

In a statement, Coinbase said that its revenue dropped to $1.215 billion in the third quarter from $1.8 billion in the same period last year. Its nine-month revenue fell to $3.8 billion from the previous $5.4 billion. 

Similarly, Robinhood said that its crypto revenue dropped by 55% to $120 million. Robinhood offers these services in its core platform and on Bitstamp, a crypto exchange platform it acquired last year. 

These companies blamed the crypto winter for the weakness, which has pushed Bitcoin and most altcoins into a bear market. Bitcoin has dropped from $126,300 a few months ago to $77,000, while other altcoins have endured a steep sell-off over the same period.

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