- Coinbase users in the U.S. can now access federally regulated crypto derivatives with margin.
- Brian Armstrong says the crypto exchange is excited about this development.
- With the recent approval, Coinbase users can trade using margin on leveraged accounts.
Coinbase users in the United States can now access federally regulated crypto derivatives with margin, and Brian Armstrong, CEO of Coinbase, says the crypto exchange is excited about that. Armstrong expressed his excitement while reacting to a post by the Coinbase official handle on the X app (formerly Twitter). He described the development as a “major moment for crypto regulatory clarity in the U.S.”
In the original post, Coinbase said the recent approval is a milestone for bringing federal regulatory oversight over the crypto markets. The exchange also noted that the development will help to protect consumers and ensure the U.S. remains a center for digital innovation.
A Coinbase blog post states that the crypto exchange secured approval from the National Futures Association (NFA), a Commodity Futures Trading Commission-designated self-regulatory organization. The approval allows Coinbase to operate a Futures Commission Merchant (FCM) and offer eligible US customers access to crypto futures from our platforms.
Coinbase emphasized its commitment to operating a regulated and compliant business while being the most trusted and secure crypto-native platform for customers. The crypto exchange also stated that this approval makes it the first crypto-native leader to offer traditional spot crypto trading alongside regulated and leveraged crypto futures on an integrated trading solution.
With the recent approval, Coinbase users can trade using margin on leveraged accounts. It provides them access to the crypto market with less upfront investment than traditional spot trading. They could express long and short positions, and investors can use derivatives to manage risks on their underlying crypto assets.
Several respondents to Armstrong’s post considered this development a significant achievement for Coinbase. One X app user, Brandon Zemp, described it as a “huge development and milestone” while congratulating Coinbase. He praised the Coinbase team and encouraged them to “keep fighting the good fight.”
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