Coinbase Acquires The Clearing Company in Prediction Market Push

Coinbase Global Inc. announced Monday that it will acquire a derivatives clearinghouse, The Clearing Company, to boost its entry into the growing prediction markets business.

The crypto trading platform said the acquisition would help it expand on its ambitions to become “the Everything Exchange.” It comes just days after Coinbase began rolling out prediction markets and equities trading.

Coinbase already has its own derivatives exchange approved by the Commodity Futures Trading Commission.

Clearinghouses operate critical market plumbing for predictions markets, despite being less visible to the public than exchanges.

The Clearing Company is not yet operational but applied in November ...