Coinbase Unveils Crypto Futures Trading for U.S. Retailers

Coinbase Financial Markets (CFM) is offering U.S. retail traders access to regulated cryptocurrency futures contracts. This follows four months after CFM received the green light to function as a Futures Commission Merchant (FCM) entity.

On Aug. 17, CFM was granted the necessary approval by the National Futures Association (NFA), an organization designated by the Commodity Futures Trading Commission for self-regulation, allowing them to offer and operate crypto futures services for qualified U.S. traders.

U.S.-based Coinbase Advanced users can now engage in trading with ‘nano’ futures contracts equivalent to 1/100th of a Bitcoin or 1/10th of an Ether. Andrew Sears, CFM’s CEO, stated, “These smaller-sized contracts demand less initial capital and can serve as a more affordable investment choice for a wider spectrum of retail clientele.”

The nano-Ether contract is designed to let users manage risks, engage in margin trading, or speculate on Ether’s price. On the other hand, the nano-Bitcoin contract offers an avenue for traders to predict Bitcoin’s future price.

Beyond giving users access to regulated, leveraged, and cash-settled crypto futures, Coinbase also intends to offer a repository of educational content through its ‘Coinbase Learn’ platform. Any U.S. individual with an active Coinbase account for regular trading can establish an FCM futures account.

Currently available on the web, the services are slated to soon roll out on mobile platforms.

The decision by Coinbase to delve into crypto futures comes as a strategic move, especially considering the exchange experienced a notable drop in regular trading volume this year relative to 2022. Data sourced from digital asset analytics firm CCData revealed a 52% decline in Coinbase’s spot trading during Q3 2023, accounting for approximately $76 billion, in comparison to the same timeframe the previous year.

Yet, in the backdrop of this dip in spot trading, Coinbase expanded its market footprint over the recent quarter. This growth can be attributed to the intensified regulatory scrutiny faced by its competitor, the crypto exchange Binance.

The ReadySetCrypto "Three Token Pillars" Community Portfolio (V3)

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What is the goal of this portfolio?

The “Three Token Pillars” portfolio is democratically proportioned between the Three Pillars of the Token Economy & Interchain:

CryptoCurreny – Security Tokens (STO) – Decentralized Finance (DeFi)

With this portfolio, we will identify and take advantage of the opportunities within the Three
Pillars of ReadySetCrypto. We aim to Capitalise on the collective knowledge and experience of the RSC
community & build model portfolios containing the premier companies and projects
in the industry and manage risk allocation suitable for as many people as
possible.

The Second Phase of the RSC Community Portfolio V3 was to give us a general idea of the weightings people desire in each of the three pillars and also member’s risk tolerance. The Third Phase of the RSC Community Portfolio V3 has us closing in on a finalized portfolio allocation before we consolidated onto the highest quality projects.

Our Current Allocation As Of Phase Three:

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The ReadySetCrypto "Top Ten Crypto" Community Portfolio (V4)

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What is the goal of this portfolio?

The “Top Ten Crypto” portfolio is a democratically proportioned portfolio balanced based on votes from members of the RSC community as to what they believe are the top 10 projects by potential.

This portfolio should be much more useful given the ever-changing market dynamics. In short, you rank the projects you believe deserve a spot in the top 10. It should represent a portfolio and rank that you believe will stand the test of time. Once we have a good cross-section, we can study and make an assessment as to where we see value and perhaps where some diamonds in the rough opportunities exist. In a perfect world, we will end up with a Pareto-style distribution that describes the largest value capture in the market.

To give an update on the position, each one listed in low to high relative risk:

SoV/money == BTC, DCR

Platforms == ETH, XTZ

Private Money == XMR / ZEC / ZEN

DeFi == MKR / SNX and stablecoins

It is the most realistic way for us to distill the entirety of what we have learned (and that includes the RSC community opinion). We have an array of articles that have gradually picked off one by one different projects, some of which end up being many thousands of words to come to this conclusion. It is not capitulation because we all remain in the market. It is simply a consolidation of quality. We seek the cream of the crop as the milk turns sour on aggregate.

Current Top 10 Rankings:

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