Coinbase International introduces perpetual futures trading for retail customers.

Coinbase International introduces perpetual futures trading for retail customers.

The Rise of Perpetual Futures Trading on Coinbase International Exchange

Coinbase International Exchange, a renowned cryptocurrency exchange platform, recently announced that it has received additional regulatory approval from the Bermuda Monetary Authority (BMA) to offer perpetual futures trading to non-United States retail customers. This move is a significant milestone for Coinbase International as it expands its services beyond institutional clients and opens up access to the retail market.

Embracing the Crypto Derivatives Market

Coinbase International, which was launched in May 2023, initially provided crypto derivatives services exclusively to institutional clients. However, with the latest regulatory approval, eligible retail customers will soon gain access to regulated perpetual futures contracts on the Coinbase Advanced platform. These perpetual futures accounts will be maintained by Coinbase Bermuda and regulated by the BMA, ensuring a secure and compliant trading environment.

The introduction of perpetual futures trading is a response to the growing popularity and dominance of the derivatives market in the cryptocurrency industry. Coinbase International acknowledges that nearly 75% of crypto trading volume comes from derivatives trading. By offering perpetual futures trading to retail customers, Coinbase International aims to level the playing field and provide individuals with the same opportunities enjoyed by institutional traders.

Building Trust Through Transparency and Compliance

Coinbase International takes pride in its commitment to transparency and compliance. The platform explicitly states that it does not engage in market-making. Instead, liquidity on the exchange is provided by established and independent liquidity providers who have undergone thorough compliance reviews. This ensures that the market remains fair and unbiased for all participants.

With Coinbase International acting as a gateway, retail traders can confidently enter the derivatives market. The platform offers a secure and competent environment for users, ensuring that they are well-equipped to navigate this complex market. However, it is important to note that only non-U.S. consumers in select countries can access the Coinbase International Exchange, and eligibility for the Coinbase Advanced trading account is subject to evaluation.

Coinbase International’s Global Expansion

The recent approval for Coinbase International to offer perpetual futures to retail customers is a testament to the platform’s growth and commitment to expanding its services worldwide. Just a month prior to this announcement, Coinbase International received approval from the National Futures Association (NFA) to offer crypto futures investments to eligible institutional clients in the United States.

Despite facing regulatory challenges, such as the ongoing lawsuit filed by the Securities and Exchange Commission (SEC) over alleged violations of securities laws, Coinbase has persisted in expanding its presence outside the U.S. market. This emphasis on global expansion indicates Coinbase’s determination to provide innovative and compliant services to customers around the world.

Shaping the Future of Crypto Trading

Coinbase International’s approval to offer perpetual futures trading to retail customers marks a significant milestone in the evolution of the blockchain industry. By democratizing access to derivative products, Coinbase International is empowering retail traders to participate in the market traditionally dominated by institutions.

The rise of perpetual futures trading on Coinbase International demonstrates the increasing adoption and acceptance of cryptocurrencies and blockchain technology. As more exchanges and platforms embrace derivatives trading, the ecosystem becomes more diverse and robust. This shift not only enhances market liquidity but also encourages broader participation and innovation within the industry.

In conclusion, Coinbase International’s regulatory approval to offer perpetual futures trading to non-U.S. retail customers showcases the platform’s dedication to providing secure and compliant services. By expanding access to the derivatives market, Coinbase International aims to bridge the gap between institutional and retail traders. As the blockchain industry continues to evolve, the rise of perpetual futures trading on Coinbase International Exchange is poised to reshape the landscape of crypto trading, driving innovation and inclusivity within the global cryptocurrency ecosystem.