Crypto Trading

U.S. prediction markets Kalshi and Polymarket are entering the lucrative perpetual futures (perps) market, previously dominated by offshore exchanges. With perps now exceeding 70% of crypto trading volume globally, their U.S. introduction could reshape real-world event trading and challenge established platforms. While analysts view this as a natural extension and potentially defensive move, concerns about increased volatility and regulatory scrutiny loom, especially given recent issues in prediction markets. The CFTC aims to facilitate perps trading with safeguards, potentially paving the way for their expansion beyond crypto.

Coinbase shares rose nearly 3% after reporting Q3 earnings that exceeded expectations, driven by a resurgence in retail and institutional crypto trading. Net income reached $432.6 million, or $1.50 per share, surpassing estimates. Revenue climbed to $1.87 billion, with transaction revenue reaching $1 billion. The exchange’s growth is attributed to a more favorable regulatory environment and improving trade relations. CEO Brian Armstrong emphasized the “everything exchange” vision, expanding tradable assets to 40,000. Coinbase is integrating prediction markets and tokenized equities in response to increasing competition.