According to a CNBC report, Coinbase, the largest U.S. cryptocurrency exchange, is preparing to launch its own prediction market in partnership with Kalshi, a major federally regulated financial exchange. The anticipation has been building for nearly a month, especially after a screenshot of what appears to be Coinbase’s prediction markets dashboard was shared on social media by researcher Jane Manchun Wong.
The Information first reported on November 19 that Coinbase plans to introduce these Kalshi-powered prediction markets, with a formal unveiling expected at the “Coinbase System Update” event on December 17. Official announcements could come as early as next week. Bloomberg also reported that the exchange is likely to announce a tokenized stock offering at the same event, aligning with a similar vision recently reported for Tether.
While Coinbase has not directly confirmed these plans to CNBC, it has encouraged stakeholders to watch for details at its upcoming event. The company has not specified when the prediction markets will be available to users.
This move is part of Coinbase’s broader strategy to become an “everything exchange”—a comprehensive platform for trading cryptocurrencies, tokenized stocks, event contracts, and more. CEO Brian Armstrong emphasized this goal in May, stating the company aims to become a leading financial services application within the next decade.
The expansion comes as Coinbase faces growing competition from rivals like Robinhood, Gemini, and Kraken, which have introduced tokenized equity offerings for non-U.S. users and are exploring prediction markets. Coinbase has also been expanding through acquisitions this year, including major deals for the derivatives exchange Deribit and the advertising firm Spindl, among others.
This development follows a shift in investor sentiment, with major cryptocurrencies like Bitcoin declining over 30% since October amid concerns of a new bear market. Coinbase’s stock (COIN) has also fallen significantly, dropping over 39% in recent months to around $267 per share.
Frequently Asked Questions
FAQs Kalshi Coinbases Reported Prediction Platform
Q1 What is this news about
A A recent insider report suggests that Coinbase is building a new internal prediction platform and is partnering with or using technology from Kalshi a regulated prediction market to power it
Q2 What is Kalshi
A Kalshi is a USbased CFTCregulated exchange where people can trade on the outcome of realworld events Its like a stock market for predictions
Q3 What would a Coinbase prediction platform be for
A While not officially confirmed its likely for internal use firsthelping Coinbase employees and teams forecast key metrics to make better datadriven decisions
Q4 Why would Coinbase partner with Kalshi
A Kalshi has regulatory approval and a working platform for eventbased trading Partnering saves Coinbase time and legal complexity compared to building from scratch Kalshis expertise in prediction markets is the key asset
Q5 Will this be available to regular Coinbase users
A The report specifies its an internal platform for now Theres no announcement about a public product but it could be a testing ground for a future consumerfacing feature
Q6 Whats a prediction market in simple terms
A Its a market where you buy Yes or No shares on a specific question The trading price reflects the crowds collective probability of that event happening If youre right you profit
Q7 What are the benefits of using a prediction market internally
A It aggregates dispersed knowledge and opinions from employees into a clear tradable forecast This can surface insights that traditional surveys or models miss leading to better strategic planning
Q8 Could this involve cryptocurrency
A The insider report doesnt specify The internal platform might use flat or a synthetic credit system If a public product ever launches integration with crypto is a natural possibility for Coinbase
Q9 Is this legal
A Kalshi operates legally under CFTC regulations for event contracts An internal nonmonetary platform for company forecasting is generally legal Any future public platform