Coinbase, a leading cryptocurrency exchange, has announced the expansion of its perpetual futures trading services to customers residing in eligible non-US regions. The move aims to cater to the needs of discerning retail traders seeking specialized trading options on Coinbase Advanced, the company’s platform tailored for this market segment.
Effective from October 18, traders in eligible regions can utilize USDC (US Dollar Coin) as their preferred currency to participate in perpetual futures trading. These contracts encompass four major cryptocurrencies: Bitcoin, Ether, Litecoin, and XRP. According to an official blog post, traders can access leverage of up to 5X, with the exception of XRP, which offers a maximum leverage of 3X.
Initially, perpetual futures trading will be exclusively accessible through the Coinbase Advanced webpage. However, Coinbase has revealed its plans to introduce mobile trading options in the near future.
Coinbase has emphasized the security and stability of its perpetual futures exchange by ensuring adequate funding through its Insurance Fund and Liquidity Support Program, both of which are denominated in USDC. The exchange assures investors that it refrains from market-making activities and relies on the liquidity provided by “established and independent” liquidity providers who have undergone rigorous compliance evaluations.
Brian Armstrong, Coinbase’s CEO, highlighted the significance of this expansion, stating, “Today, only a few trusted players exist in the global crypto derivatives market that provide the security and transparency that crypto traders need to trade with confidence. In addition to our institutional customers, Coinbase Advanced customers can now access perpetual futures contracts offered by Coinbase International Exchange, which have been built within rigorous compliance standards.”
This announcement follows Coinbase’s recent acquisition of a Major Payment Institution (MPI) license issued by the Monetary Authority of Singapore (MAS). This development represents a significant step forward, building upon the initial in-principle approval granted by the state regulator in October of the previous year.
In further global expansion efforts, Coinbase has also secured regulatory approval from the Bermuda Monetary Authority (BMA) for its recently launched Coinbase International Exchange. This non-US exchange will offer perpetual futures trading options to customers outside of the United States, broadening the company’s reach and services in the international cryptocurrency market.
