Coinbase Expands Offerings with Stock Trading and Prediction Markets

Coinbase is expanding its services significantly by introducing stock trading and prediction markets, marking a pivotal shift from its roots as a cryptocurrency company. The announcement was made at a San Francisco event titled 'System Upgrade,' where CEO Brian Armstrong highlighted that customers can now trade stocks and place bets on various events through a partnership with Kalshi.

Initially, Coinbase will offer a curated list of major stocks and ETFs with plans to expand to thousands more in the future, all available for trading 24 hours a day, five days a week, at no cost. This move positions Coinbase to compete directly with fintech firms like Robinhood.

The stock trading feature will be complemented by the introduction of perpetual futures for stocks, which will be available outside the U.S. early next year. Additionally, the prediction markets will allow users to wager on real-world events, further diversifying Coinbase's offerings and revenue streams.

Coinbase's stock has remained relatively flat this year, and these new features are part of its strategy to brand itself as an 'everything exchange.' Other new offerings include expanded access to the Solana blockchain, a decentralized exchange, and an AI-powered wealth management tool called Coinbase Advisor.

The company's Base App has also been launched globally in over 140 countries, continuing its trajectory towards becoming a comprehensive financial platform.