Coinbase users are complaining about receiving multiple push notifications per day urging them to “predict” sports gameplay during “March Madness” college basketball.
Indeed, so many complaints were reported via X that it became a trending topic yesterday.
Many customers, echoing allegations by state attorneys general in Michigan and Arizona, described the annoying promotions as de facto advertisements to gamble on sports.
Coinbase, is one of the longest continually-operated bitcoin ($BTC) exchanges which safeguards billions of dollars’ worth of assets for customers.
However, rather than focus on long-term investments like $BTC, Coinbase regularly floods its app with short-term promotions, all-or-nothing predictions, memecoins, leveraged derivatives, and other high-risk wagers.
Full-screen promotions tempt many users into risky trades while many customers don’t see a single mention of $BTC during their entire Coinbase app experience.
Indeed, the homepage of the app as of Protos’ last check, featured a “March Madness” advertisement at the top of the homescreen with no mention of $BTC above the fold.
One customer and Coinbase stockholder posted screenshots of the basketball notifications, which arrived several times daily. “This is essentially encouraging me to gamble,” he wrote.
‘Very bad for our industry’
CEO Brian Armstrong responded the same afternoon, calling it “a fair point” and promising customization options. However, the concession only drew sharper criticism.
Alexander Leishman, founder of $BTC exchange River, replied to Armstrong: “It’s long term very bad for our industry to be pushing sports betting. The blowback will impact all of us.”
Days earlier, a Messari researcher had posted a nearly identical complaint. “Why am I getting notifications from Coinbase about betting odds for college basketball games?” he wrote.
“This is just reinforcing the notion that crypto is just another gambling product, and not an actual investment to be taken seriously.”
Crypto attorney Ariel Givner compared the moment to Juul’s rise and fall.
Other users were more blunt. “Every time I open your d*** app, I’m getting bombarded with gambling notifications,” one wrote, tagging Coinbase directly.
Read more: NHS exec warns that crypto trading could fuel problem gambling
Coinbase sports ‘event contracts’
Coinbase launched prediction markets in all 50 states in January 2026 through a partnership with Kalshi.
Users can place “prediction” trades on sports, politics, and culture outcomes, funding trades with cash or USDC. Under federal law, these are legally “event contracts,” not sports bets.
Coinbase has sued regulators in Connecticut, Michigan, and Illinois who disagree.
The legal distinction hasn’t convinced everyone.
Nevada, Illinois, and Connecticut have all argued these contracts are functionally gambling while a class action lawsuit in New York alleged that Kalshi “dupes consumers… when they are actually gambling against the house.”
Illinois regulators stated plainly that athletic competitions aren’t economic instruments. Chris Christie told CNBC, “If it looks like a duck and quacks like a duck, it’s a duck. It’s a sports bet.”
Coinbase disagrees entirely and is suing various regulators who have likened its prediction markets to gambling.
