--- title: "Coinbase: The crypto market in 2026 will be dominated by perpetual contracts, prediction markets, and stablecoin payments." description: "Coinbase Institutional predicts that by 2026, the crypto market will be dominated by perpetual contracts, prediction markets, and stablecoin payments. The report highlights a shift from retail specula" type: "news" locale: "en" url: "https://longbridge.com/en/news/270912048.md" published_at: "2025-12-28T08:39:00.000Z" --- # Coinbase: The crypto market in 2026 will be dominated by perpetual contracts, prediction markets, and stablecoin payments. > Coinbase Institutional predicts that by 2026, the crypto market will be dominated by perpetual contracts, prediction markets, and stablecoin payments. The report highlights a shift from retail speculation to sustainable market structures, with derivatives playing a key role in price discovery. Prediction markets are evolving into stable financial infrastructure, while stablecoins are increasingly used for settlements and liquidity management. 2026 will test the sustainability of these markets under regulatory constraints. In its latest research outlook, Coinbase Institutional points out that in 2026, the core of the crypto market will no longer be driven by narratives, but rather by the ability of key market structures to sustain expansion under more stringent conditions. The report, authored by David Duong, Global Head of Research at Coinbase, and researcher Colin Basco, argues that traditional cyclical models centered on retail speculation, token issuance, and single-protocol catalysis are gradually becoming ineffective. The report identifies perpetual contracts as a key pillar of price discovery, noting that derivatives trading volume already dominates most major exchanges. While the derivatives market will undergo deleveraging adjustments by the end of 2025, Coinbase views this as a structural reset rather than a decline in demand, believing that stricter margin requirements and risk controls enhance the market's ability to absorb shocks. Furthermore, Coinbase believes that prediction markets are shifting from experimental products to more sustainable financial infrastructure, with increased trading volume and liquidity attracting more non-crypto native participants. Stablecoins and payments are seen as the sectors with the most practical use, with their applications in settlement, cross-border transfers, and liquidity management continuing to grow, and gradually merging with automated trading and AI applications. Coinbase stated that 2026 will be a crucial year to test the sustainability of these core markets under intense regulatory and risk constraints. (CoinDesk) ### Related Stocks - [COIN.US - Coinbase](https://longbridge.com/en/quote/COIN.US.md) ## Related News & Research | Title | Description | URL | |-------|-------------|-----| | A winter for stablecoins would signal crypto deep freeze | Stablecoins are the entry ramp to the cryptoverse’s wider ambitions. | [Link](https://longbridge.com/en/news/275886982.md) | | OpenPayd Wins ‘Best Early-Stage or Future Payments Initiative’ Award for Stablecoin Infrastructure Innovation | OpenPayd Wins ‘Best Early-Stage or Future Payments Initiative’ Award for Stablecoin Infrastructure Innovation | [Link](https://longbridge.com/en/news/276042714.md) | | BREAKINGVIEWS-Why US banks' stablecoin pleading is flawed | US banks, led by Bank of America, are expressing concerns over stablecoins potentially attracting $6 trillion in deposit | [Link](https://longbridge.com/en/news/275851247.md) | | Coinbase Global says that some users may be experiencing delayed sends & receives for Algorand (Algo) - website | Coinbase Global says that some users may be experiencing delayed sends & receives for Algorand (Algo) - website | [Link](https://longbridge.com/en/news/275504513.md) | | Coinbase Global Says That Some Users May Be Experiencing Delayed Sends & Receives For Algorand (Algo) - Website | Coinbase Global Inc :COINBASE GLOBAL: AWARE THAT SOME USERS MAY BE EXPERIENCING DELAYED SENDS & RECEIVES FOR ALGORAND (A | [Link](https://longbridge.com/en/news/275501088.md) | --- > **Disclaimer**: This article is for reference only and does not constitute any investment advice.