Table of Contents
The cryptocurrency trading platform is scheduled to present plans for event contracts and tokenized stocks at a company event on December 17, two sources with knowledge of the situation told Bloomberg. While Coinbase has publicly stated its interest in entering the prediction markets space, the company has not previously disclosed a specific timeline for its launch.
In a September blog post, the exchange operator indicated that event contract marketplaces represent practical opportunities for expanding cryptocurrency use cases. The company already maintains exposure to the prediction markets sector through a partnership with Kalshi, announced in November, which involves USDC—a dollar-pegged stablecoin.
“Today we’re announcing that Kalshi, the largest prediction market in the U.S., has chosen Coinbase Custody to safeguard their USDC – giving participants peace of mind when they trade on real-world outcomes,” according to the statement.
The company has not confirmed whether its platform will include sports event contracts, a feature offered by several competitors in the prediction markets industry.
Growing Cryptocurrency Presence in Prediction Markets
The potential Coinbase announcement follows Tuesday’s news that Gemini Space Station, operated by the Winklevoss twins, secured regulatory approval to offer yes/no contracts in the prediction markets arena. Gemini and Coinbase compete directly in cryptocurrency trading services.
The expansion of crypto-focused companies into prediction markets reflects natural synergies between the two sectors. Polymarket, among the world’s largest prediction market platforms, operates on blockchain infrastructure and processes transactions through smart contracts and stablecoins, offering participants decentralized trading capabilities.
Hoolie Tejwani, head of Coinbase Ventures, has described prediction markets as a “killer onchain use case,” citing blockchain’s maturation, smart contract security improvements, and widespread stablecoin adoption as key factors driving the sector’s development.
Market Position and Scale
With approximately 105 million registered users worldwide and 10.8 million monthly active users, Coinbase holds a substantial market position that could translate into significant prediction markets participation. The company’s established infrastructure may attract institutional investors to the sector, potentially increasing market depth and trading volume.
Last year, Coinbase processed $1 trillion in transaction volume, with institutional participants accounting for a substantial portion of that activity.
The exchange announced today that it has joined the Coalition for Prediction Markets (CPM), a lobbying organization led by Crypto.com and Kalshi. Other members include Robinhood and Underdog, reflecting the increasing industry coordination around regulatory and policy matters affecting prediction markets operations.
Source: Coinbase
