Coinbase (COIN) announced that it is increasing its bitcoin (BTC) holdings and plans to launch tokenized U.S. stocks and prediction markets in the coming months, marking a significant expansion as it diversifies its revenue stream.
In a post on Thursday, Coinbase CEO Brian Armstrong stated, “Coinbase is long bitcoin. Our holding increased by 2,509 BTC in Q2, and we keep buying more.”
The news about Coinbase acquiring bitcoin isn’t new, but it aligns with recent trends, as many companies have begun mimicking Michael Saylor’s strategy. However, Coinbase’s CFO, Alesia Haas, clarified that Coinbase is not a BTC treasury company but a crypto operating firm that invests in the sector.
Read more: Coinbase Is Buying Bitcoin, Just Don’t Call It a Treasury Strategy.
Separately, Coinbase confirmed it is preparing to offer tokenized versions of U.S. equities—digital representations of shares that can be traded on blockchain infrastructure. The products will allow users to buy and sell fractions of stocks around the clock, with faster settlement and lower costs than traditional equity markets.
The company’s chief legal officer, Paul Grewal, announced in June that they were seeking approval from the U.S. Securities and Exchange Commission (SEC) for this product.
This announcement comes as financial institutions increasingly explore tokenization—the process of putting real-world assets on the blockchain—to improve efficiency and accessibility in capital markets. Major players like BlackRock, Franklin Templeton, and JPMorgan have recently made moves in this area.
Coinbase’s top competitors, Robinhood and Kraken, have also recently launched tokenized stocks outside of the U.S.
The exchange is also planning to introduce prediction markets, allowing users to bet on future events’ outcomes using crypto assets. These features are expected to launch within months, pending regulatory clarity, according to Coinbase’s vice president of product, Max Branzburg.
“We’re building an exchange for everything,” he stated. “Everything you want to trade, in a one-stop shop, on-chain. … We’re bringing all assets on-chain—stocks, prediction markets, and more. We’re laying the foundations for a faster, more accessible, more global economy.”
Coinbase reported second-quarter earnings on Thursday, missing estimates as retail trading volume fell. The company’s shares are down about 6% in post-market trading.
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