Coinbase Launches Nano Bitcoin Nano Ether Perpetual Futures for U.S. Traders

Coinbase Derivatives has announced the launch of two new U.S. perpetual-style futures contracts, set to go live on July 21. These contracts, the Nano Bitcoin Perpetual Futures and the Nano Ether Perpetual Futures, are designed to offer U.S. traders a safe and regulated alternative to offshore platforms, which are often used for similar trading activities but come with higher risks due to varying regulations and safety concerns.

The Nano Bitcoin Perpetual Futures represents 0.01 BTC, while the Nano Ether Perpetual Futures represents 0.10 ETH. These contracts will have five-year expirations and can be traded 24/7, providing continuous trading opportunities. The inclusion of a funding rate mechanism will help keep prices close to actual market rates, with funding occurring every hour and settling twice a day. This mechanism is crucial for mitigating the risk of price discrepancies, a common issue in perpetual futures trading.

Perpetual futures are highly popular globally, making up nearly 90% of crypto trading in some cases. By offering these contracts, Coinbase aims to provide U.S. traders with the same kind of product but with the added safety of U.S. regulations. This move is expected to make it easier and safer for traders to manage risk, invest long-term, and size their trades efficiently. Coinbase views this as a transformative milestone for U.S. crypto trading, paving the way for a new era of access and innovation in the country.

Coinbase plans to release more details soon about where and how traders can access these futures through their partners, ensuring a seamless transition for traders interested in leveraging these new financial instruments. This initiative is part of Coinbase's broader strategy to expand its offerings and enhance its regulatory compliance. Earlier, the company secured a MiCA license from Luxembourg, allowing it to operate across all 27 EU countries under a single regulatory framework. This license simplifies the process of serving approximately 450 million people in Europe, eliminating the need for separate licenses in individual countries.

Daniel Seifert, a representative from Coinbase, highlighted the significance of this milestone, stating that it marks a substantial step forward in providing U.S. traders with innovative and secure trading options. The launch of these futures contracts is expected to attract a broader range of traders who may have previously been deterred by the risks associated with offshore exchanges, fostering a new era of access and innovation in the U.S. crypto market.