Trading Stocks with Stablecoins… Coinbase's "One-App Finance" Accelerates [Doyeri's DeFi Radar]

Coinbase, the largest cryptocurrency exchange in the US, has unveiled a one-app financial strategy encompassing stocks and prediction markets. This heralds its transformation beyond a simple cryptocurrency exchange into a next-generation comprehensive financial platform.

According to major foreign media outlets, including the US business media outlet CNBC, on the 17th (local time), Coinbase announced plans to sequentially introduce new services, including stock trading and prediction markets. This initiative aims to realize its vision of becoming the "Everything Exchange."



The stocks are designed to be traded in dollars or the dollar-based stablecoin USDC. Users will be able to buy, sell, and manage cryptocurrencies, stocks, and exchange-traded funds (ETFs) all from a single Coinbase account and application.

The list of stocks available for trading at launch has not yet been finalized. Max Brandsberg, Coinbase's head of consumer and business products, said, "We will initially offer hundreds of major stocks, based on market capitalization, trading volume, and other metrics," adding, "We plan to add thousands of stocks and exchange-traded funds (ETFs) over the coming months."

Coinbase is preparing to offer 24/5 stock trading without transaction fees. This structure allows for immediate response to earnings announcements, macroeconomic events, and weekend news without the constraints of traditional stock market trading hours. Early next year, the company plans to expand its US stock perpetual contract product to users outside the US.

Another pillar of this strategy is the tokenization of traditional assets. Coinbase has presented a tokenization roadmap for transferring traditional financial assets, including stocks, to the blockchain and has unveiled "Coinbase Tokenize," an institutional real-world asset tokenization platform. However, the specific structure of the tokenized stocks has not yet been finalized. Further details will be released at a later date.

Prediction market services will also be introduced. Coinbase plans to integrate with Kalshi, a regulated prediction market platform, to provide a service that allows investors to invest in the outcomes of real-world events such as elections, sports, and economic indicators.

Brian Armstrong, CEO of Coinbase, said the appeal of prediction markets lies in their ability to go beyond simple trading and gauge the psychology of market participants and their outlook on specific events. In an interview with CNBC, he explained, "People use prediction markets to gauge what's likely to happen next month, whether it's economic indicators or elections. Only 1% of people trade assets; 99% use them as a way to gauge what's likely to happen next."

This strategy is interpreted as a plan to reduce dependence on fluctuations in cryptocurrency trading volume and expand its business into stablecoins, tokenization, and on-chain financial infrastructure. Coinbase stated on its official blog, "Cryptocurrencies are updating all financial services," and "We will create a platform that encompasses the future of finance."

Reporter Do Ye-ri