Coinbase faced strong user backlash for pushing prediction markets; the CEO claimed it was a bug and apologized.

PANews reported on March 29th that, according to Cointelegraph, Coinbase has sparked strong dissatisfaction among users due to its excessive push notifications of March Madness basketball prediction market alerts, with users accusing it of indirectly inducing gambling. The prediction market feature, launched in January this year in partnership with Kalshi, has been criticized for excessive harassment, triggering a trust dispute within the industry.

Coinbase CEO Brian Armstrong responded that the push notification issue was a vulnerability, and that they have begun fixing it and apologized to users. Meanwhile, the US prediction market is facing state-level regulatory lawsuits and federal jurisdictional disputes, and Congress is also pushing forward related legislation and potential trading bans by lawmakers.