Big Plans Ahead for Coinbase? Some Expect Disappointment After Monad

Core Insights - Coinbase is expected to make a significant announcement on December 17, which has generated speculation about its potential entry into prediction markets [2][7] - The company has a competitive advantage as it can operate directly with US users, unlike many other platforms facing regulatory challenges [2] - If Coinbase launches its own prediction markets platform, it will directly compete with Binance and Polymarket, potentially increasing liquidity in the sector [3][7] Company Positioning - Coinbase controls its own Layer 2 network, Base, which has been profitable but recently overtaken by Binance's opBNB in several metrics [4] - The company aims to expand beyond its role as a simple exchange, indicating ambitions for broader market participation [4] Market Dynamics - The prediction markets sector has struggled with liquidity, but increased access for US users could enhance market depth [3][7] - Recent events, such as the Monad token launch, have led to skepticism within the community, as a significant portion of the token supply went to insiders and the token's value dropped significantly post-launch [5][6][7]