Key takeaways
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- Coinbase is entering prediction markets and US equities trading, expanding beyond its core crypto business.
- Users will be able to buy stocks using USDC, integrating stablecoins more directly into traditional finance.
- The company is partnering with Kalshi for prediction markets, joining rivals like Robinhood and Gemini.
- Coinbase also unveiled institutional products, including tools for branded stablecoins and future tokenized stocks.
What Happened?
Coinbase announced it will begin rolling out prediction markets and stock trading to eligible US users in the coming weeks. CEO Brian Armstrong framed the move as part of a strategy to turn Coinbase into a one-stop platform for trading “every asset, not just crypto.” Alongside retail offerings, the company introduced new institutional products aimed at tokenization and stablecoin infrastructure.
Why It Matters?
The expansion reflects pressure on crypto exchanges to diversify as trading volumes and pricing power fluctuate with market cycles. By adding equities and prediction markets, Coinbase widens its addressable market and reduces reliance on crypto transaction fees. Strategically, it also positions Coinbase closer to fintech rivals like Robinhood while reinforcing its thesis that blockchain rails—stablecoins and tokenization—can underpin traditional financial assets.
What’s Next?
As Coinbase rolls these products out, regulatory scrutiny will remain front and center, particularly around prediction markets and tokenized securities. Execution will hinge on user adoption and whether Coinbase can seamlessly integrate stocks and onchain assets without diluting its core crypto audience. Longer term, the company’s push toward tokenized stocks and 24/7 trading suggests a bet that capital markets increasingly migrate onto blockchain infrastructure, with Coinbase aiming to be a primary gateway rather than just a crypto exchange.
