Pay enough attention to worlds of cryptocurrency, fintech and wagering these days and an investor is likely to hear plenty about prediction markets. In layman’s terms, prediction markets are exchanges where bettors and traders buy and sell derivatives fashioned in yes/no form on events including economic releases, elections and sports, among many more. The prediction market arena is also a hub of cryptocurrency activity with some of the biggest names in the space, including Coinbase Global (NASDAQ: COIN), getting in on the act. That could make the Direxion Daily COIN Bull 2X ETF (NASDAQ: CONX) a leveraged ETF to watch in 2026.
As its name implies, CONX, which came to market in November, attempts to deliver 200% of Coinbase’s daily share price movement. So if shares of the largest domestic cryptocurrency broker rise by 1% on a given day, CONX should climb 2%.
Consider CONX as Tactical Prediction Markets Idea
Coinbase recently announced a partnership with Kalshi that allows the former to offer event contracts on its platform — likely a smart move, because many of the broker’s retail clients are already engaging in prediction markets or sports betting. As positive news on that front accrues, CONX could benefit short-term, opportunistic traders.
It’s certainly possible risk-tolerant traders will embrace CONX for various reasons this year, with prediction markets among them. Research firm Clear Street recently highlighted Coinbase as one of its top three fintech ideas for 2026. Clear Street also notes Coinbase has the compliance know-how and technology stack needed to be a force in the prediction markets arena.
The research firm also highlighted Coinbase’s significant established customer base as a potential prediction markets catalyst, as well as the company’s unique positioning to benefit from a prediction markets evolution into analytics and big data.
Coinbase itself isn’t running away from the catalyst-rich nature of prediction markets. In its 2026 Crypto Market Outlook, the research arm of the company said prediction markets are entering a “transformative period.” That could spell multiple opportunities to capitalize with CONX in 2026.
Coinbase is seen as a formidable event contracts player because it has scale and the ability to positively affect liquidity — factors seen as crucial in terms of brining more institutional traders into the space.
“This could drive further maturity in their market structure, governance, and regulatory oversight, solidifying their role within the broader financial ecosystem,” according to the 2026 Crypto Market Outlook.
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