Bitcoin News Today: Coinbase Launches Stock Trading to Challenge Fintech Rivals

Coinbase Global Inc. (COIN) is reshaping its product portfolio by rolling out U.S. stock trading on its app, marking a key step in its broader strategy to become a one-stop financial services platform. The move, announced on Wednesday, allows U.S. users to trade stocks using the stablecoin USDC (USDC-USD), alongside their crypto holdings. This expansion positions Coinbase in direct competition with Robinhood Markets (HOOD) and other fintech platforms according to reports.

The launch is part of a sweeping product overhaul that includes prediction markets via a partnership with Kalshi, tokenized equities, and expanded decentralized trading capabilities. Coinbase also introduced stock-linked perpetual futures for international users and enhanced AI tools like Coinbase Advisor to assist with portfolio building. These updates were unveiled during the company's System Update livestream, signaling a major evolution in its 13-year history according to analysis.

Coinbase's share price dipped by 3.3% during regular trading but rebounded around 1.5% in after-hours sessions. The mixed investor reaction reflects uncertainty about whether the diversification strategy will drive long-term growth or dilute its core crypto offering as market data shows.

The Strategic Expansion and Market Positioning

Coinbase's entry into stock trading and prediction markets is a strategic effort to diversify its revenue base and appeal to a wider audience. By allowing customers to manage stocks and crypto in a single app, the company aims to streamline financial services and attract retail investors seeking convenience. Stock trades will be commission-free and will remain so permanently, with Coinbase planning to add thousands of new stocks over time.

The platform's expansion also includes 24/7 extended trading hours for select stocks, a feature that differentiates it from traditional brokerages. This model aligns with Coinbase's vision of a 24/7 trading ecosystem powered by blockchain infrastructure. The company emphasized that stock trading is just the beginning of its long-term goal to build a tokenized equities platform according to company statements.

Regulatory and Financial Moves

Beyond product innovation, Coinbase is taking regulatory steps to solidify its financial infrastructure ambitions. The firm has applied for a National Trust Company charter with the U.S. Office of the Comptroller of the Currency (OCC), a move that could grant it broader financial services capabilities. The application is currently under review according to industry sources.

The company also introduced Custom Stablecoins, enabling businesses to issue branded stablecoins backed by a mix of USDC and other dollar-pegged assets. This offering targets financial institutions and fintech companies looking to tokenize assets without using fiat. Early adopters include Flipcash, Solflare, and R2 according to company announcements.

Saylor's $1B Bitcoin Purchase and Market Sentiment

On the broader crypto market, Michael Saylor's Strategy Foundation continued its aggressive Bitcoin accumulation, purchasing nearly $1 billion worth of BTC in late December. Despite the large-scale buys, Bitcoin's price remained relatively stable, which Saylor interpreted as a sign of market maturity. He reiterated his long-term bullish stance, predicting an annual appreciation of 30% over the next 20 years.

Saylor also publicly admitted that his 2013 skepticism about Bitcoin was a "big mistake." His comments reflect a dramatic reversal from early doubts to full conviction in the digital asset's long-term potential. This shift has been mirrored in Strategy's financial strategy, which now focuses solely on Bitcoin as a reserve capital asset according to financial reporting.

The Rise of Stablecoins and Fintech Partnerships

Stablecoins are playing a central role in the evolving financial landscape, with major fintech companies like Intuit and SoFi integrating them into their platforms.

Intuit announced a multi-year partnership with Circle, the issuer of USDC, to embed the stablecoin across its financial services. The move is intended to enable faster, lower-cost payments for business transactions, tax refunds, and other services according to market reports.

SoFi also made headlines by launching a stablecoin issued by its bank subsidiary. The company's stablecoin is the first from a U.S. national bank and is backed by a federal regulatory framework. This development underscores the growing regulatory clarity around stablecoins following the passage of the GENIUS Act in Congress according to industry analysis.

Conclusion and Market Outlook

Coinbase's expansion into traditional finance reflects a broader industry trend of convergence between crypto and fintech. As the company moves beyond its origins as a crypto exchange, it faces both opportunities and challenges. The success of its "everything exchange" vision will depend on execution, regulatory acceptance, and the continued growth of crypto adoption.

For investors, the key questions remain: Can Coinbase maintain its first-mover advantage in crypto while competing with established fintech players in stocks and stablecoins? How will the market react to its new products as competition intensifies? Analysts are watching closely for signs that the company can sustain its momentum amid a rapidly evolving landscape according to industry experts.