Coinbase Global Inc. has announced that it has obtained regulatory approval to provide crypto futures trading to its customers. This makes Coinbase the first crypto-native entity to offer both traditional spot crypto trading and crypto futures directly. The approval was granted by the National Futures Association.
In a blog post, Coinbase expressed its excitement about the approval, referring to it as a "watershed moment" in bringing regulated crypto products to U.S. customers. This development is significant considering that approximately 75% of global crypto trading volume is derived from the derivatives market.
As a result of this news, Coinbase's shares experienced a 2% increase during premarket trading on Wednesday.
However, while celebrating this achievement, Coinbase is still engaged in ongoing battles with regulators regarding other aspects of its business. The Securities and Exchange Commission (SEC) recently filed a lawsuit against Coinbase, alleging that the company operates an unregistered securities exchange. In response, Coinbase CEO Brian Armstrong criticized the SEC's approach, stating that their enforcement-focused strategy is detrimental to the United States.
Coinbase views the approval of its futures trading as confirmation of its commitment to maintaining a regulated and compliant business.
