Coinbase has expanded its prediction markets feature to users across all 50 U.S. states, marking a major shift in its product strategy. The nationwide rollout follows a limited launch announced in December and significantly broadens access to event-based trading for U.S. customers. By partnering with Kalshi, Coinbase has entered a fast-growing segment that blends financial trading with real-world outcomes. The move positions the exchange to capture rising demand for alternative market tools beyond traditional cryptocurrencies. Significantly, the launch arrives as interest in prediction markets accelerates across politics, sports, and economic forecasting. Users can now trade on outcomes tied to elections, major sporting events, cultural moments, and macroeconomic indicators. This expansion also aligns with Coinbase’s broader goal of keeping users engaged within a single regulated platform. How the Kalshi Partnership Shapes the Offering Coinbase built the prediction markets feature entirely through its partnership with Kalshi, a platform regulated by the Commodity Futures Trading Commission. Kalshi provides event-based contracts that allow users to take yes or no positions on specific outcomes. The contract prices fluctuate based on market sentiment, effectively translating probability into tradable instruments. Consequently, Coinbase users can manage these positions alongside crypto holdings, equities, and cash balances. Minimum trade sizes start at one dollar, lowering the barrier for participation. Additionally, all initial market liquidity flows directly from Kalshi, with Coinbase planning to integrate more providers over time. This structure allows Coinbase to scale the product while maintaining regulatory clarity. Competition Intensifies Across Prediction Markets Prediction markets have gained momentum over the past year, drawing attention from both crypto-native and traditional financial firms. Platforms such as Polymarket and Kalshi recorded combined trading volumes in the tens of billions last year. Moreover, activity levels continue to rise as users seek real-time sentiment signals. Traditional firms have also entered the space. CME Group, through its partnership with FanDuel, has explored similar offerings. Meanwhile, Robinhood and Webull have added prediction markets to their platforms. Goldman Sachs has also begun evaluating opportunities in the sector. Prediction Markets Fit Coinbase’s Bigger Vision For Coinbase, prediction markets support its ambition to operate as an “everything exchange.” The company continues to expand into stocks, derivatives, stablecoins, payments, and tokenized assets. Additionally, Coinbase recently acquired The Clearing Company, founded by Toni Gemayel, to strengthen its market infrastructure.
