Coinbase is launching an IPO share allocation service for U.S. retail investors. The first company is smart ring maker Oura, which is set to list on Nasdaq this week.

On Sept. 21, blockchain media outlet Decrypt reported that Coinbase plans to let eligible U.S. users apply for Oura shares at the IPO price in the Coinbase app before trading begins.

The service extends Coinbase's push beyond cryptocurrency trading into traditional financial products. In a statement, Coinbase said the feature is another step in expanding its “Everything Exchange,” allowing U.S. customers to access companies they are interested in before they list on public markets.

Oura plans to list on Nasdaq under the ticker symbol “OURA.” The company plans to offer 50 million shares at $40 to $44 per share. Coinbase did not disclose why it chose Oura as the first case, but the service launch timing aligns with Oura’s listing schedule.

Users must select an IPO offering on the IPO page in the Coinbase app, deposit funds into their account, and submit a conditional buy order once the expected IPO price range is announced. They must also complete a standard Financial Industry Regulatory Authority survey to determine whether they are subject to restrictions.

Placing an order does not guarantee an allocation. Depending on demand and the amount secured from underwriters, users may receive a full allocation, a partial allocation or none. During the order window, users can revise or cancel requests, and allocated shares are set at the final IPO price and can be traded once public trading begins.

Coinbase said it will prioritize investors with a long-term holding preference in the allocation system. “The allocation algorithm prioritizes investors who believe in what they are buying for the long term,” the company said, adding that selling IPO shares within 30 days could restrict participation in future IPOs for the following 60 days. It added that investors who repeat such behavior may receive smaller allocations less often.

Coinbase also specified that its securities business is operated separately from its digital asset services. It drew a clear line between its cryptocurrency exchange business and its securities services.

The move also aligns with Coinbase’s diversification strategy. Coinbase recently also applied for U.S. stock-based perpetual futures products linked to shares such as Apple, Tesla and Nvidia. The products do not involve owning the shares themselves but instead provide exposure to price movements.

Coinbase has also introduced tokenised stocks for eligible users outside the United States, and secured approval in the UK to offer stocks and derivatives. It has also outlined plans to expand services for Canadian customers combining stocks, cryptocurrencies and prediction markets. As a result, the IPO allocation service is seen as another step in Coinbase’s strategy to expand its exchange role from cryptocurrencies to stocks and derivatives.