Coinbase(US:COIN) Benzinga·2025-12-11 07:19Core Insights - Gemini Space Station, Inc. has received regulatory approval for its subsidiary, Gemini Titan, to offer prediction markets to U.S. customers, marking a significant milestone in the company's operations [1][2]. Group 1: Regulatory Approval - Gemini Titan has been granted a Designated Contract Market license by the Commodity Futures Trading Commission, allowing U.S. customers to trade event contracts on its platform [2]. - The initial offerings will include simple "Yes" or "No" questions regarding future events [2]. Group 2: Company Statements and Market Context - CEO Tyler Winklevoss expressed that the approval concludes a five-year licensing process and opens a new chapter for Gemini, highlighting the supportive regulatory environment for crypto and innovation [3]. - The approval comes at a time of increasing interest in prediction marketplaces, with competitors like Polymarket and Kalshi also gaining traction in the market [3][4]. Group 3: Market Dynamics and Competitors - Polymarket has resumed operations in the U.S. after regulatory challenges, and is reportedly in talks to raise funds at a valuation between $12 billion and $15 billion [4]. - Kalshi, another federally regulated competitor, has seen its valuation rise to $11 billion following a significant funding round [4]. - Together, Polymarket and Kalshi dominate over 90% of the prediction market industry, although they face legal challenges regarding sports event contracts [5]. Group 4: Stock Performance - Following the announcement, Gemini shares experienced a 13.73% increase in after-hours trading, despite a 0.70% decline during the regular trading session [5].