Coinbase Financial Markets, a subsidiary of Coinbase, is now offering regulated crypto futures trading with USD settlement to retail clients in the United States.
These contracts, with a value of 1/100 Bitcoin and 1/10 Ethereum, are specifically designed for retail traders.
The launch of this service was made possible by approval from the National Futures Association (NFA), a CFTC-authorized self-regulatory organization, in August.
Coinbase’s Vice President of Institutional Products, Greg Tusar, referred to this event as a “critical milestone” for the company.
He estimated that the crypto derivatives market currently makes up 75% of the total digital asset turnover.
In September 2021, Coinbase submitted an application to the NFA, and in 2022, the company acquired FairX, a CFTC-regulated crypto derivatives platform, which was rebranded as Coinbase Derivatives Exchange.
This platform is available to third-party brokers, Futures Commission Merchants (FCMs), and market makers. In May 2023, Coinbase also launched an international exchange for trading crypto derivatives.
