Coinbase agrees to acquire The Clearing Company to expand prediction markets offering

Coinbase is buying The Clearing Company, a startup that focuses on prediction markets, as the crypto exchange looks to broaden its lineup of regulated, onchain products tied to real-world events.

The deal comes shortly after Coinbase rolled out prediction markets to its users, letting them place trades on outcomes like elections, economic data, sports, and even cultural moments, all from the same platform they already use for crypto, derivatives, and stocks. Coinbase says the acquisition will help build on that launch and scale prediction markets as part of what it calls its vision for an “Everything Exchange.”

Coinbase acquires The Clearing Company as it joins prediction markets competition

In its press release, Coinbase said the deal is all about “powering the future of prediction markets,” pointing out how important it is to bring event-based contracts onto the same platform as more traditional financial products. The company noted that The Clearing Company brings hands-on experience building and running prediction markets, which Coinbase believes will help it grow this category within a regulated setup.

First we announced prediction markets on Coinbase.

Now we’re bringing in the specialized talent to take our plans to the next level.

Welcome to Coinbase, @theclearingco. pic.twitter.com/KfRZSp9w9j

— Coinbase (@coinbase) December 22, 2025

The Clearing Company is led by founder Toni Gemayel, who Coinbase describes as a product and growth leader with deep industry experience. According to Coinbase, Gemayel and his team will help “scale world-class prediction markets trading on Coinbase” and push forward the company’s bigger platform goals.

Prediction markets let people trade contracts based on the likelihood of future events. Coinbase said it sees a big opportunity to offer these markets to millions of users around the world, folding them directly into portfolios that already hold cash, crypto, stocks, and derivatives.

Excited to share that @theclearingco is joining @coinbase! We set out to transform how people engage with prediction makers, and now we are taking it to the next level. More soon to come https://t.co/GG7yVM8Ifz

— Nina Qi (@theninaqi) December 22, 2025

More broadly, Coinbase framed the acquisition as another step toward bringing multiple asset classes together in one place. However, the deal still needs to clear standard closing conditions and is expected to close in January. Coinbase also pointed out that listed futures and swaps are offered through Coinbase Financial Markets, which is registered with the US Commodity Futures Trading Commission, while spot accounts are held separately by Coinbase, Inc.

The company’s CEO, Brian Armstrong, may have accidentally highlighted some real concerns around prediction markets after he rattled off a list of buzzwords that were reportedly picked based on what users on prediction market platforms Kalshi and Polymarket had wagered would come up during the call.

Even if it was meant as a joke, the moment underscored just how easy it could be for individuals to influence the outcome of what was, in this case, an $84,000 betting market.

Featured image: Coinbase press release

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