Coinbase, a leading cryptocurrency exchange, has received official authorization from the US National Futures Association (NFA) to introduce Bitcoin and Ethereum futures trading within the country.
Designated by the Commodities and Futures Trading, the NFA’s approval marks a historic milestone, positioning Coinbase as the first platform to offer such derivatives to US customers.
This pivotal move by Coinbase signifies a significant stride towards enabling broader participation in the crypto market.
The newly acquired authorization effectively opens doors for access to regulated derivatives products, liberating US citizens from their previous exclusion from crypto futures trading.
Described by Coinbase as a “watershed moment,” this decision is hailed as a momentous achievement for the nascent crypto industry.
The exchange expressed its enthusiasm for the approval, emphasizing the seamless experience it will provide through Coinbase Financial Markets alongside the existing spot market.
Both of these offerings will now fall under the vigilant oversight of the Commodity Futures Trading Commission (CFTC) and the NFA.
Coinbase’s Chief Legal Officer, Paul Grewal, affirmed the culmination of years of dedication towards regulatory harmony.
He highlighted the exchange’s unwavering commitment to safeguarding customers and expressed that Coinbase’s alignment with regulators dedicated to promoting regulatory clarity has been the cornerstone of this accomplishment.
Grewal underlined that a conducive regulatory environment nurtures innovation, upholds market order, and, most crucially, safeguards the interests of consumers and investors.
Coinbase’s attainment of the NFA’s approval comes amidst an ongoing legal dispute with the US Securities and Exchange Commission (SEC).
The SEC’s confrontational approach towards the nascent crypto sector, characterized by lawsuits against prominent exchanges like Binance, Kraken, and Coinbase, has been critiqued as “regulation by enforcement.”
