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Coinbase is poised to take a significant step beyond traditional crypto trading. According to a Bloomberg report, the U.S.-based trading platform is set to unveil new products this coming Wednesday, including prediction markets and tokenized stocks.
Two Expansions for Coinbase #
The expansion primarily involves two new products. Prediction markets are trading platforms where users can wager money on the outcome of events, such as elections or economic data. The price of a contract on such a market reflects the perceived probability of an event occurring.
Tokenized stocks are digital representations of traditional shares issued on a crypto network. Instead of holding a conventional stock, a user owns a token that tracks the value of that stock. Bloomberg reports that Coinbase intends to issue these tokenized stocks itself, rather than through external partners.
These plans align with the company’s ambition to be more than just a venue for trading bitcoin and altcoins.
Livestream Announcements #
While sources indicate the products will launch soon, Coinbase has not yet officially confirmed what will be revealed during the livestream. However, it is known that the company has been working on these features for some time. Researchers, in collaboration with Kalshi, previously discovered preparations for dedicated webpages for tokenized stocks and prediction markets.
The timing is notable. Prediction markets are growing rapidly, and exchanges and trading firms see them as a new source of information, aiming to capitalize on the trading flows they generate.
Last week, the global trading volume for prediction markets was around €3.5 billion. Platforms like Polymarket and Kalshi have become major players. According to data from Dune Analytics, Kalshi alone processes nearly €1 billion in transactions weekly.
Data from rwa.xyz shows that the monthly trading volume in tokenized stocks rose by approximately 32% over the last thirty days to about €1.25 billion.
Industry Collaboration #
On the same day as Bloomberg’s report, it was announced that Coinbase has joined the Coalition for Prediction Markets. This alliance, initiated by Kalshi, includes various U.S. providers such as Crypto.com. Its goal is to engage collectively with policymakers and regulators.
According to Coinbase, prediction markets are about transparency and accessibility. The idea is that markets where people have a financial stake in outcomes can collectively provide a more realistic picture of likely future events. At the same time, regulation remains a sensitive issue, particularly in the United States, where authorities closely monitor new financial products.
Coinbase is not the only player moving in this direction. Other trading platforms have already taken steps toward prediction markets. As reported earlier this week, Gemini recently received approval from U.S. regulators to offer this type of product.