Coinbase Custody has been selected by Kalshi to secure USDC for its prediction market contracts, announced on November 13, 2025, solidifying the partnership in the U.S.
The collaboration underscores the importance of secure fund management in prediction markets, enhancing trust and regulatory compliance, without immediate impact on other cryptocurrencies like ETH or BTC.
Kalshi Chooses Coinbase Custody for USDC Security
Kalshi has announced a strategic partnership with Coinbase, selecting Coinbase Custody to safeguard its USDC. This collaboration aims to enhance security and transparency for Kalshi's event-based prediction markets, creating a secure trading environment.
Kalshi, led by CEO Tarek Mansour, teams with Coinbase under CEO Brian Armstrong. This move secures USDC for Kalshi's regulated exchange, promoting long-term stability and growth. The partnership was officially confirmed on November 13, 2025.
The adoption of Coinbase Custody impacts the cryptocurrency industry by bolstering confidence through regulated safeguards in market transactions. This decision marks a significant step in securing Kalshi's user funds, highlighting a transparent environment.
This partnership implies advancements in financial security for USDC, the exclusive settlement asset used in Kalshi's contracts. While no new funding was disclosed, institutional involvement and strengthened operational security are focal points.
Both firms emphasize enhancing trust in crypto markets through sophisticated custody solutions. This collaboration, therefore, aligns with regulatory advancements expected in the future.
Kalshi's use of Coinbase's custody services signals potential growth in regulated crypto exchanges, reflecting historical trends like Polymarket's collaboration with Fireblocks. These initiatives focus on enhanced security frameworks for prediction markets.
"Tarek Mansour, CEO, Kalshi, 'With Coinbase Custody safeguarding USDC on Kalshi, participants can trade confidently knowing their funds are held in a regulated, secure, and transparent environment.'"