Coinbase Moves Beyond Crypto

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  Bullish.Bets
 
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•  12 Dec 2025
 

•   AAPL  
   
  +0.09%
•   COIN  
   
  -0.58%
•   TSLA  
   
  +2.71%

$COIN is taking a major step to transform the trading landscape by launching a platform for prediction markets and tokenized equities. This move signals Coinbase ambition to expand beyond cryptocurrency trading and compete directly with platforms like Robinhood, offering retail and institutional investors a unified hub for stocks, crypto, and prediction-based trading.

Prediction markets allow traders to buy and sell contracts on the outcomes of future events, including elections, sports games, or Federal Reserve rate decisions. Contracts are tokenized, with prices reflecting the estimated probability of each outcome. For example, a contract predicting a candidate victory priced at $0.65 implies a 65% likelihood. The global prediction market surged to $10 billion in 2025, up 150% from 2024, driven by growing U.S. regulatory clarity and institutional adoption. Coinbase plans to integrate these markets directly into its app, focusing on economic and political events to attract professional traders.

Tokenized equities bring traditional stocks into the digital era. Instead of buying shares through a broker, investors hold a digital token representing ownership. This allows 24/7 trading without bank intermediaries, instant transfers between wallets, and lower transaction costs. Coinbase will issue the tokens internally, maintaining full control over liquidity and regulatory compliance. The tokenized equities market grew 32% in 2025, reaching $1.45 billion in monthly volume, particularly in Europe and Asia. Users can now hold $AAPL or $TSLA alongside crypto in a single wallet and transfer assets across DeFi platforms seamlessly.

Competition is intensifying. Robinhood already offers prediction markets via Kalshi, which manages $500 million in monthly volume, while Kraken provides tokenized stocks outside the U.S., and Gemini and Crypto.com are entering the sector. With 110 million active users and $1.2 trillion in annual trading volume, Coinbase aims to become the “all-in-one app” for investing and trading, bridging traditional finance and DeFi.

Regulatory scrutiny remains a key consideration. The SEC is evaluating whether tokenized equities qualify as securities, potentially limiting U.S. access. Coinbase partnerships with PredictAction and Kalshi suggest regulatory compliance is prioritized, increasing the likelihood of rapid approval.

The expansion will impact the broader crypto market. Trading volume on Coinbase Base network rose 40% last year to $50 billion, and adding tokenized stocks could further accelerate growth. The initiative also targets Gen Z investors, 65% of whom prefer digital platforms, boosting potential revenue for $COIN while reinforcing its position as a gateway between traditional finance and decentralized markets.

$COIN move into prediction markets and tokenized equities opens new opportunities for diversified strategies and long-term growth. A closer look at how Coinbase integrates these features may reveal how the platform can reshape both short-term trading and portfolio management.

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