Crypto exchange Coinbase is reportedly developing a prediction markets platform, with initial screenshots indicating that the service will be powered by Kalshi. This move aligns with Coinbase's broader strategy to expand its offerings and become an "everything exchange."
Jane Manchun Wong, a researcher known for uncovering upcoming features on major tech platforms, shared insights on X (formerly Twitter) on Tuesday. She revealed that Coinbase is "working on a prediction market" and provided several screenshots that appear to showcase the platform's interface and functionality.
One of the shared screenshots explicitly states that the prediction market is offered by Coinbase Financial Markets, which is the derivatives arm of Coinbase Global. The platform will operate through Kalshi, a regulated exchange for event contracts.
Additional images displayed a user interface typical of prediction markets, prominently featuring Coinbase's branding. These screenshots also included an FAQ section and a guide designed to explain the new offering to users.
Coinbase had previously informed CNBC in July about its intentions to launch prediction markets. This initiative is part of the company's vision to create a comprehensive "everything exchange." The partnership between Coinbase and Kalshi was officially announced on November 13. Under this collaboration, Coinbase will serve as the custodian for Kalshi's event contracts that are based on USDC.
Wong's ability to discover unreleased features stems from her practice of analyzing the public source code of websites, identifying clues about functionalities that are still under development.
The screenshots provided by Wong suggest that Coinbase's prediction market will support trading using either USDC or U.S. dollars. The platform is expected to feature markets covering a range of topics, including economics, sports, science, politics, and technology. Furthermore, the interface hints at the regular addition of new markets.
Prediction markets have emerged as a significant trend in the cryptocurrency space this year, with platforms like Kalshi and Polymarket experiencing substantial growth in trading volumes.
Several of Coinbase's competitors in the crypto exchange market are also actively exploring or launching their own prediction market offerings. This includes Crypto.com, which recently introduced a prediction markets platform slated for integration with Trump Media, and Gemini, which is planning to launch a similar platform as part of its "super app" initiative. Gemini has also filed with the Commodity Futures Trading Commission to become a designated contract market to facilitate its prediction market services.