TLDR
- Coinbase rolled out prediction markets in all 50 US states through a partnership with Kalshi
- Users can trade on real-world event outcomes including sports, politics, culture, and economic indicators
- The launch comes ahead of the Super Bowl, one of the biggest US sporting events
- Kalshi faces legal challenges from at least four states over sports betting without gaming licenses
- Coinbase acquired The Clearing Company in December to support its “everything exchange” strategy
Coinbase announced Wednesday that prediction markets are now available to users across all 50 US states. The rollout comes through a partnership with Kalshi, a US-regulated prediction market operator valued at $11 billion.
Out: Odds set by the house.
In: Price set by the crowd.
Now there's a new way to trade your takes.
Prediction markets are live in all 50 states on Coinbase.
Trade any real-world outcomes across sports, politics, culture and more. pic.twitter.com/CIjz9T9pjX
— Coinbase 🛡️ (@coinbase) January 28, 2026
The platform allows users to trade on real-world event outcomes. These include sports, politics, culture, collectibles, and economic indicators.
Coinbase first announced the partnership in December. The Wednesday X post confirmed the nationwide availability of the feature.
The timing of the launch lines up with the Super Bowl. The NFL championship game is one of the biggest sporting events in the United States and takes place in about a week.
How the Markets Work
The prediction markets use event-based contracts that function like simplified derivatives. Traders buy “yes” or “no” positions on specific outcomes.
Contract prices reflect the probability assigned by the market. Higher prices indicate the market believes an outcome is more likely.
Kalshi operates under federal regulation from the US Commodity Futures Trading Commission. This regulatory status allows the platform to offer these contracts to US users.
Legal Challenges for Kalshi
Kalshi faces legal action from authorities in at least four US states. Massachusetts and Tennessee are among the states filing challenges.
The states claim Kalshi offers sports betting without proper gaming licenses. These state-level challenges proceed despite Kalshi’s federal regulatory approval.
Polymarket, another prediction market platform, faces similar scrutiny. Tennessee authorities also targeted Polymarket over sports betting concerns.
Insider Trading Concerns
Polymarket recently drew attention from US lawmakers over potential insider trading. Reports suggest a user may have traded on insider information about Venezuelan President Nicolás Maduro’s capture.
The unknown user reportedly earned more than $400,000 from betting on Maduro’s removal. Lawmakers called for action to address insider trading on political wagers.
The concerns highlight regulatory questions surrounding prediction markets. These platforms continue to face oversight challenges.
Coinbase’s Broader Strategy
Coinbase acquired The Clearing Company in December. The acquisition supports the exchange’s push into prediction markets.
The company aims to become an “everything exchange.” This strategy includes stock trading, tokenized assets, and prediction markets.
Prediction markets have grown in popularity over the past year. Trading volumes on platforms like Polymarket have surged.
More users are expressing political and economic views through on-chain financial products. Some investors use these markets as alternative data sources.
Coinbase’s entry into the space through a regulated platform could boost visibility and liquidity. The exchange brings its existing US user base to the prediction market sector.
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