Nasdaq just reminded everyone why owning the pipes matters more than owning the water. The exchange operator posted second-quarter net revenue of $1.5 billion, a 15% increase year-over-year, powered by a wave of high-profile IPO listings and a data business that keeps compounding quietly in the background.

Non-GAAP diluted earnings per share landed at $1.07, roughly 9% above analyst estimates of approximately $0.98.

The numbers behind the beat

The standout driver was Nasdaq’s Solutions segment, which includes its data services and index products. Solutions revenue climbed 17% compared to the same period last year, outpacing the company’s overall growth rate.

Annualized recurring revenue hit $3.3 billion, an 11-12% increase year-over-year.

The company also maintained its decade-long leadership in US listings. When companies go public on your exchange, you collect listing fees. When they trade on your exchange, you collect transaction fees. When their data flows through your pipes, you collect data fees.

The 25% year-over-year jump in non-GAAP EPS suggests that Nasdaq isn’t just growing revenue. It’s doing so with improving margins. Revenue grew 15%, but earnings grew 25%.

Where crypto fits into Nasdaq’s playbook

The Nasdaq Crypto Index, known as NCI, tracks major digital assets including Bitcoin and Ethereum. Nasdaq also serves as the listing venue for several prominent Bitcoin and Ethereum ETFs.

Bitcoin ETF flows turned negative in June 2026, with roughly $5.4 billion in net outflows during the month. Some recovery materialized in July, but the pattern illustrates why Nasdaq’s business model benefits from the infrastructure layer regardless of whether flows are coming in or going out.

What this means for crypto investors

The growing annualized recurring revenue from data and index products suggests that institutional demand for crypto market data is becoming a durable revenue stream.

Nasdaq’s investment in crypto indexing and data infrastructure creates a moat that pure-play crypto exchanges struggle to match. Coinbase may dominate retail crypto trading in the US, but Nasdaq owns the infrastructure layer that institutional allocators rely on for ETF listings, price discovery, and compliance surveillance.

The risk to watch is whether IPO activity sustains at current levels. A slowdown in capital markets could pressure the listings business, though the data and index revenue provides a cushion. Nasdaq reported 276 IPOs raising $46.65 billion in 2025 alone.