Coinbase: Prediction markets may offer a tax loophole for gamblers under Trump’s Big Beautiful Bill, Coinbase says

A tax change in Trump’s Big Beautiful Bill may steer gamblers toward blockchain-based prediction markets to reduce their IRS bill, Coinbase said. What to know : A 2026 tax rule in the One Big Beautiful Bill Act will limit how gamblers deduct losses against winnings, Coinbase says, with prediction markets perhaps offering more favorable tax treatment due to their structure as financial contracts akin to derivatives. Coinbase expects prediction markets to become key crypto infrastructure, despite current fragmentation and regulatory uncertainty.