Coinbase Doubles Down: Tokenized Stocks & Derivatives Coming in Game-Changing App Overhaul

Wall Street's worst nightmare just got sharper teeth.

Coinbase—the crypto giant that won't quit—is reportedly plotting a nuclear expansion into tokenized equities and derivatives. No more begging traditional finance for scraps; they're building the whole damn buffet.

From Crypto Exchange to Everything Broker

Insiders whisper the update could drop before Q4 2025, turning the app into a one-stop-shop for both degens and suits. Imagine buying Tesla shares at 3AM sandwiched between your NFT trades and perpetual swaps—the ultimate portfolio chaos theory.

Why This Hurts Legacy Finance

Banks spent decades building moats with paperwork and middlemen. Coinbase just coded a catapult to vault over them. The move strategically undercuts the SEC's favorite stalling tactics by making regulated assets...well, programmable.

The Cynic's Corner

Sure, tokenized stocks sound revolutionary—until you remember they'll still be subject to the same manipulated markets and insider trading that plague traditional finance. Some things even blockchain can't fix.

One thing's certain: the lines between crypto and 'real' finance just got blurrier than a trader's moral compass after three Red Bulls.

TLDRs;

• Coinbase to offer tokenized stocks, prediction markets, and derivatives in upcoming app update.
• U.S. rollout begins soon, with global expansion subject to regulatory approval.
• Move coincides with SEC’s “Project Crypto” to modernize rules around digital asset trading.
• Coinbase aims to rival Robinhood, Kraken, and others by becoming a multi-asset super app.

Coinbase, the largest cryptocurrency exchange in the United States, is set to transform its core platform by launching tokenized versions of real-world assets, including stocks, derivatives, commodities, and early-stage token sales.

Max Branzburg, Vice President at Coinbase, confirmed the strategy in an interview with CNBC on Thursday.

The expansion will initially target U.S. users in the coming months, followed by international users based on local regulatory approvals. With this shift, Coinbase positions itself as a direct competitor to fintech platforms like Robinhood and Kraken, which already offer tokenized financial products abroad.

“We’re building an exchange for everything,” he said. “Everything you want to trade, in a one-stop shop, on-chain. … We’re bringing all assets onchain — stocks, prediction markets, and more. We’re building the foundations for a faster, more accessible, more global economy.”

Coinbase is also looking to integrate prediction markets and foreign exchange trading, reshaping its identity from a crypto-first exchange to a full-spectrum digital finance platform.

Timing Aligns with Regulatory Tailwinds

Coinbase’s announcement came just as the U.S. Securities and Exchange Commission (SEC) rolled out “Project Crypto”, an initiative designed to update securities laws for crypto-based trading.

SEC Chairman Paul Atkins hinted that many crypto tokens may fall outside traditional securities definitions, signaling a more permissive framework for companies like Coinbase.

This regulatory clarity removes one of the primary roadblocks that have historically hindered U.S.-based crypto firms from offering conventional financial products. The coordinated timing suggests Coinbase was well-positioned to act on these evolving policy shifts.

As super apps that bundle financial services gain traction globally, the SEC’s openness to such frameworks gives Coinbase a golden window to roll out its broader offerings in a legally sound manner.

Strategy Follows Q2 Revenue Shortfall

Coinbase’s diversification push comes on the heels of disappointing Q2 earnings. The company reported $1.5 billion in revenue, missing Wall Street’s estimate of $1.59 billion. Shares fell 7% in after-hours trading as global trading volumes slumped due to stagnant crypto prices and declining retail engagement.

Despite these setbacks, Coinbase posted $1.43 billion in net income, bolstered by valuation gains on crypto holdings and investments, including a stake in Circle Internet Group. However, the company also recorded $307 million in expenses related to a security breach disclosed in May 2025.

The pivot toward tokenized assets is seen as a strategic attempt to stabilize revenue by capturing new markets less dependent on crypto trading cycles.

Tokenization Represents Massive Market Opportunity

Coinbase’s latest MOVE taps into what could become one of the largest financial innovations of the decade: real-world asset tokenization. Industry projections estimate that tokenized assets could reach $16 trillion in market value by 2030, roughly 10% of global GDP. Currently, less than $3 billion of assets are tokenized, indicating a massive runway for growth.

Real estate, private equity, and commodities are expected to lead the charge. Coinbase’s early entry into this space could secure it a leading role in shaping the infrastructure of the next-generation financial system.