Coinbase is preparing to debut an in-house prediction market powered by U.S.-based operator Kalshi, according to a source cited by CNBC. The move represents a strategic step for the company as it seeks to expand beyond cryptocurrencies and position itself as an “everything exchange” for digital and traditional financial assets.
Coinbase and Kalshi partnership nears announcement
A person familiar with the matter told CNBC that Coinbase and Kalshi plan to formally announce their partnership as soon as next week. The launch is expected to coincide with Coinbase’s “Coinbase System Update” event on Dec. 17.
The partnership will not be exclusive, but Kalshi will initially be the only regulated prediction market operator working with Coinbase. The exchange declined to confirm specific details, saying only that users should tune into the event for updates.
Rumors about the initiative intensified in mid-November when technology researcher Jane Manchun Wong shared a screenshot of what appeared to be Coinbase’s prediction market dashboard on X.
Coinbase is working on Prediction Market pic.twitter.com/0T3HwdXmDy
— Jane Manchun Wong (@wongmjane) November 18, 2025
The Information first reported on Nov. 19 that Coinbase planned to unveil the feature at its December showcase, while Bloomberg later noted that the announcement might also include details about a tokenized stock offering.
Expanding access to new asset classes
Coinbase’s planned prediction markets would allow users to trade on event outcomes such as elections, economic indicators, or cultural milestones. The addition fits into CEO Brian Armstrong’s long-term vision of turning Coinbase into an integrated trading platform across multiple asset types.
In May, Armstrong told investors that Coinbase intends to evolve into a top financial services application in the next decade. His “everything exchange” strategy aims to offer users access to crypto assets, tokenized equities, and event-based financial contracts all within one platform.
The company views this goal as part of its broader mission to diversify its offerings amid cooling investor enthusiasm for digital assets. A correction in October triggered by liquidations of leveraged positions caused prices for many cryptocurrencies to drop, with Bitcoin falling to about $85,000 in early December, its lowest since March, according to TradingView data. At the time of reporting, Bitcoin was last trading at $89,862, down 23% over the previous three months. Coinbase’s shares have also fallen more than 16% during the same period, according to Yahoo Finance.
Facing competition and adapting to new market dynamics
Coinbase’s expanded product strategy comes at a time of increasing competition from rival trading platforms such as Robinhood, Gemini, and Kraken. All three have recently launched tokenized stock offerings to users outside the United States and are developing their own prediction market infrastructure.
Kalshi’s role in powering Coinbase’s event contracts underscores its growing presence as a regulated operator in the prediction market industry. The company, which is overseen by the U.S. Commodity Futures Trading Commission (CFTC), has been pursuing partnerships across both traditional and digital brokerages.
Kalshi integrated several of its prediction markets into Robinhood earlier this year under a non-exclusive deal. A source told CNBC that Kalshi continues to hold discussions with other major brokerages in the crypto and financial sectors to replicate similar collaborations.
Broader implications for prediction markets
Prediction markets allow users to hedge or speculate on measurable real-world outcomes, offering a different form of exposure compared to traditional trading instruments. Platforms such as Coinbase and Robinhood are exploring such products as traders look for alternative sources of engagement amid volatile crypto markets.
While Coinbase has not confirmed a specific launch date for its prediction markets, reports from Bloomberg suggest that a public rollout could follow soon after the Dec. 17 event.
For now, the announcement marks another milestone in Coinbase’s ongoing attempt to broaden its scope beyond crypto token trading and build a multi-asset exchange model that integrates event contracts and tokenized stocks under one digital roof.
Tanya Petrusenko
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