(Reuters) -Crypto exchange Coinbase beat estimates for fourth-quarter profit on Thursday, driven by higher trading volumes in bitcoin and other digital tokens following the U.S. election.

Unprecedented interest in crypto, fueled by Donald Trump's victory in the November presidential election, pushed bitcoin beyond $100,000 in the quarter as investors anticipated more crypto friendly policies under the new administration.

Trump has promised to the make the U.S. the "crypto capital of the planet". Paul Atkins, his pick to lead the Securities and Exchange Commission, is known for his pro-crypto views - a sharp contrast to former Chair Gary Gensler, who likened the industry to the "Wild West".

Shares of the company rose more than 3% in extended trading.

Coinbase earned $4.68 per share for the three months ended December 31, while analysts were expecting a profit of $1.81 per share, according to data compiled by LSEG.

The profit included $476 million in pre-tax gains on crypto asset investment portfolio.

Its transaction revenue rose 172% to $1.6 billion. Revenue from subscription and services unit, which houses businesses outside of trading, rose 15% to $641 million.

Total revenue rose to $2.3 billion from $953.8 million a year earlier.

On Wednesday, Robinhood reported a 700% jump in fourth-quarter 0revenue as it benefited from a surge in crypto trading activity.

(Reporting by Jaiveer Singh Shekhawat and Niket Nishant in Bengaluru; Editing by Anil D'Silva)