Coinbase, a cryptocurrency exchange platform, has announced an expansion of its services, allowing eligible non-US customers to trade perpetual futures on Coinbase Advanced. For sophisticated retail traders worldwide, it provides an integrated platform to access both highly liquid spot markets and cutting-edge derivatives.
This move is a response to the substantial demand within the crypto community for futures products. The global crypto derivatives market represents a staggering 75% of crypto trading volume worldwide.
Coinbase Advanced: Introducing Perpetual Futures
The popularity of crypto derivatives, which include perpetual futures, can be attributed to several factors. These products offer traders the ability to use margin, resulting in increased capital efficiency and access to the crypto market with lower upfront investment. They enable traders to seamlessly go long and short, providing them with powerful tools to manage risk on their underlying crypto assets.
Coinbase Advanced initially offers four perpetual contracts: Bitcoin, Ethereum, Litecoin, and Ripple. These contracts provide leverage of up to 5X, with Ripple offering up to 3X leverage. All perpetual futures contracts are settled in USDC, a globally-trusted stablecoin. The platform also plans to expand its offerings in the coming months, increasing the diversity of products available to customers.
Key Features of Coinbase Advanced
Coinbase is introducing an array of features for traders, with an initial fee of 0% for makers and a modest 0.03% for takers. They are developing mobile trading options for added convenience.
Coinbase Advanced further presents an integrated trading experience, combining both spot and derivatives markets into a user-friendly interface. Moreover, traders are equipped with tools like diverse order options, TradingView charts for in-depth analysis, and APIs for automated trading.
The crypto exchange platform plans to collaborate with its retail advanced traders to evolve Coinbase Advanced into a versatile trading platform. The launch of perpetual futures on Coinbase Advanced marks a step forward in the world of crypto trading, with the goal of equipping advanced traders with the necessary tools and security for their trading.
