SoFi and Coinbase rise on stablecoin sector rotation

SoFi Technologies and Coinbase Global shares advanced on Tuesday as capital rotated into crypto-linked fintech names, a move driven by stablecoin adoption rather than broad sector tailwinds. SoFi stock climbed 3% to $18.83, while Coinbase shares gained 5% to $188.11.

The ARK Blockchain & Fintech Innovation ETF, or ARKF, rose 2% to $46.44 midday, outpacing the Invesco QQQ Trust, which increased 0.42% to $709.32. This performance gap indicates the rally is specific to the crypto-fintech intersection. SoFi’s involvement in stablecoins has placed its equity in direct sympathy with the crypto complex.

SoFi began settling its trading business in SoFiUSD during the second quarter of 2026. The company describes SoFiUSD as the first stablecoin issued by a nationally chartered bank on a public, permissionless blockchain. SoFiUSD is backed by cash at the Federal Reserve, with roughly $300 million in circulation at the end of Q2 2026.

Coinbase Global competes through USDC, with average USDC held in Coinbase products reaching a record $20 billion in Q2 2026. This infrastructure underpins the current rotation. Affirm Holdings stock remained largely flat, rising only 0.6% to $77.36, confirming that the bid is flowing through stablecoin rails rather than benefiting all fintech firms equally.

Other participants include Robinhood Markets and PayPal Holdings. PayPal operates PYUSD and expanded its access to 70 markets in March. Both companies are being pulled into the rotation, with intensity varying based on their direct exposure to stablecoin economics.

This price action follows significant drawdowns for both SoFi and Coinbase. Through Monday’s close, SoFi stock was down 30% year to date, and Coinbase shares were down 21% year to date. The current increase represents a bounce off deep discounts rather than a fresh breakout.

SoFi trades at a forward P/E ratio of 25x, compared to an industry average of 17x. The company’s Q2 2026 fee-based revenues reached $472 million, representing 39% of adjusted net revenues and a 22% increase from the prior quarter. Financial Services and Technology Platform revenues totaled approximately $551 million, or 46% of adjusted net revenues.

Traders are monitoring whether SoFi can hold above $18 into Tuesday’s close, as a decline would suggest the crypto-fintech link remains episodic. Coinbase shares have correlated with USDC balances and Base activity throughout the summer. The next scheduled catalyst is the Q3 2026 earnings cycle in late October, when both companies plan to update stablecoin metrics.