Benchmark ups Coinbase target after tokenized stocks, options

Coinbase on Tuesday presented a slate of new products at a company event, including tokenized U.S. equities and options trading for both cryptocurrencies and traditional stocks. Benchmark-StoneX Managing Director Mark Palmer reiterated a $270 price target for Coinbase, about 60% above the stock’s trading level near $169.

Coinbase said its tokenized U.S. equities will be 1:1-backed shares with automatic dividend payouts. The company plans options trading for crypto and traditional equities, the ability for users to transfer existing stock portfolios onto its platform, and short-term crypto price-prediction contracts. Other initiatives include borrowing against staked Solana and expanded card features, such as a Coinbase One Card travel portal offering 5% Bitcoin rewards and USDC-backed card access.

Palmer wrote that the presentation was wide-ranging and warned industry incumbents to take note: “The ambition on display was sweeping enough to put every brokerage, bank, and fintech in the country on notice.” He added that the update showed Coinbase evolving “from a cyclical crypto brokerage into a foundational infrastructure platform linking the emerging on-chain economy to the traditional one.” Benchmark-StoneX said the $270 target reflects its view that the new products could expand Coinbase’s addressable market into stocks, derivatives and consumer finance.

Coinbase has been cutting costs and altering operations. In May the company reduced its workforce by about 14% and said it would rely more on artificial intelligence to improve efficiency. The firm reported a $394 million net loss for the first quarter of fiscal 2026.

Shares have fallen this year and were trading near $169 after the event. Regulatory and implementation details for the tokenized equities and options were not disclosed at the presentation; market participants will watch how Coinbase manages custody, settlement and compliance for on-chain representations of traditional assets.