Coinbase Financial Markets (CFM) has made a significant announcement that will potentially revolutionize the cryptocurrency trading landscape. U.S. traders can now trade regulated, leveraged cryptocurrency futures through CFM. This is a significant milestone for the crypto industry, as it marks the first time that retail traders in the U.S. will be able to trade regulated crypto futures contracts.
CFM is offering two futures contracts: Bitcoin (BTC) and Ethereum (ETH), with minimum capital requirements of 1/100th of a Bitcoin and 1/10th of an Ethereum. These contracts are specifically sized for retail traders, making futures trading more accessible to a wider set of traders.
Move expected to provide traders with more flexibility and control
Andrew Sears, Product at Coinbase, stated,
“Futures provide traders with the ability to hedge their risk, diversify their portfolios, trade with leverage, and speculate on which way the market will go – either up or down”. This move is expected to provide traders with more flexibility and control over their trading strategies.
In August, CFM received approval to bring federally regulated crypto futures trading to eligible U.S. customers. This approval makes Coinbase the first purely cryptocurrency trading platform to offer such products.
CFM is committed to making futures trading more accessible by offering nano-sized futures contracts and a library of educational content. The Coinbase Learn platform features a suite of articles that break down futures topics, from the basics to the benefits and risks. This initiative aims to equip traders with the resources they need to trade futures in a safe and responsible way.
Eligible traders can begin trading crypto futures on CFM today
To access these futures contracts, traders will need to have an existing account on Coinbase Inc. for spot trading before opening a Coinbase Financial Markets futures account. Eligible traders can begin trading crypto futures on CFM today.
This development is expected to have a significant impact on the crypto market. As Sears noted,
With this move, Coinbase continues to demonstrate its commitment to innovation and accessibility in the rapidly evolving world of cryptocurrency trading.