Crypto trading platform Coinbase has received approval from the Bermuda Monetary Authority (BMA) to bring perpetual futures trading to retail customers outside of the United States. This move is part of Coinbase’s strategy to partner with global regulators and comply with clear rules for the crypto industry. Perpetual futures contracts allow traders to open both long and short positions without an expiry date, paying a periodic funding rate. This offering provides leveraged exposure to cryptocurrency booms and busts without the need to own actual cryptocurrencies. Coinbase introduced perpetual futures trading for institutional clients in May and has now expanded the offering to retail users. However, trading perpetual futures still requires users to open a Coinbase Advanced trading account.
Coinbase’s approval for perpetual futures trading comes at a time when global regulators are scrutinizing other crypto firms. Some firms have been forced to exit certain regions due to their inability to comply with local laws. Coinbase, on the other hand, emphasizes its compliance standards and user protections, including audited financial statements, a USDC-funded insurance fund, and a dedicated risk team. The company remains the only publicly traded crypto exchange platform. Coinbase believes that the U.S. should be at the forefront of updating the financial system, which is why it chose to build its business and become a public company there.
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