Coinbase Secure Nod for Global Perpetual Futures Trading

Coinbase Executives Secure Regulatory Nod for Global Perpetual Futures Trading.

29 September 2023

Coinbase, a top actor in crypto, and its Coinbase executives, has satisfied all points requested by the Bermuda Monetary Authority regulatory politics to introduce perpetual futures trading to its global customer base, marking a significant expansion into one of the crypto industry’s most vibrant sectors. 

The Bermuda Monetary Authority (BMA) has turned on the green light to Coinbase International Exchange, a Bermuda-based entity, allowing it to offer perpetual futures crypto to retail investors beyond the United States. 

Perpetual futures, often dubbed the go-to tool for leveraged bets on tokens, hold immense appeal for traders. Unlike traditional futures contracts, perpetuals have no fixed expiration date and are designed to track the underlying asset’s price movements closely. What sets them apart is the ability to make leveraged bets with a smaller upfront investment, making them an attractive option for retail investors seeking amplified exposure to the crypto market. 

Coinbase Perpetual Futures

Coinbase will proceed with perpetual futures trading on its Coinbase Advanced platform in the coming weeks. This strategic move from Coinbase executives aligns with the company’s broader mission to provide greater access and opportunities in the ever-evolving crypto landscape. 

Thursday’s regulatory approval marks a notable challenge to Binance, a longstanding leader in the crypto perpetual-futures market. While Binance has historically dominated this sector, it has faced mounting regulatory pressures globally. 

In contrast, Coinbase, in a blog post, underscored its reputation as “the most trusted and safest name in crypto,” positioning itself as a reliable alternative for traders seeking security and translucence in the crypto products market. 

It should be mentioned that Coinbase stock has not been immune to regulatory review. In Thursday’s opening hours, Coinbase stock rose 2.7% to $73.44. This year, the stock price has increased by almost 100%.

Also, this week, Coinbase executives led a lobbying effort in Washington, D.C., advocating for legislative clarity surrounding crypto trading rules in the USA to encourage a regulatory environment that promotes innovation and compliance. 

Coinbase’s bold step into the world of perpetual futures trading signals the company’s commitment to meeting the evolving demands of the crypto market while navigating complex regulatory landscapes. As Coinbase forays further into the international crypto products market, the industry watches closely, anticipating how this trusted crypto giant will reshape the future of perpetual futures trading for retail investors worldwide. 

< Back