Coinbase Derivatives Exchange To Make Nano Bitcoin Futures Available Through Major Brokers
Coinbase Derivatives Exchange, a CFTC regulated designated contract market (DCM) futures exchange, will launch its first listed crypto derivatives product on June 27: Nano Bitcoin Futures (BIT).
Boris Ilevsky, head of Coinbase derivatives exchange, said that initially, BIT futures will be available for trading through several major brokerage intermediaries, including retail brokers EdgeClear, Ironbeam, NinjaTrader, Optimus Futures, Stage 5 and Tradevot and clearing firm ABN AMRO. Huh. ADMIS, Advantage Futures, ED&F Man, Ironbeam and Wedbush.
“Coinbase is awaiting regulatory approval on its own Futures Commission Merchant (FCM) license so that we can offer margin futures contracts directly to our clients,” he said.
Ilevsky said that the transition of FairX to a Coinbase derivatives exchange marries a world-class team with product development, market structure, compliance, market-leading exchange technology and a proven ability to deliver listed futures, which is the building block of Coinbase’s products. It’s easy with commitment. Understandable, fair, accessible, efficient and transparent.
“Nearly round-the-clock trading, low upfront investment, leverage and ease of going long and short are some of the reasons why futures are a popular product for traders,” he said.
BIT futures contracts will provide similar benefits but are designed with the retail trader in mind, Ilyevsky explained.
He added that 1/100th of the size of bitcoin requires less upfront capital than traditional futures products and creates a real opportunity for significant expansion of retail participation in US regulated crypto futures markets.
“The crypto derivatives market represents $3 trillion in volume worldwide and we believe additional product development and access will unlock significant growth,” he said.
“It is more important than ever to bring the benefits of futures to the broader market so that traders of all types can access the regulated US crypto derivatives markets to express their views or hedge their underlying crypto assets,” he added.