Top crypto exchange Coinbase (COIN) is launching “perpetual-style crypto futures” in the US on July 21, according to a Thursday announcement. The US futures product suite will closely track spot prices, offer leverage, and remain compliant with CFTC regulations, according to the exchange, and will be one of the first products of its kind in the United States.
“We are excited to announce the upcoming launch of US Perpetual-Style Futures on Coinbase Derivatives Exchange, designed to mirror the functionality of global perpetual futures while adhering to US regulatory standards,” Coinbase writes in a Blog post. “Internationally, perpetual futures have become the dominant crypto derivatives product, representing upwards of 90% of total crypto trading activity in some reports. However, perpetual futures have been largely unavailable in the US until now.”
Coinbase Unveils US Perpetual-Style Crypto Futures Contracts
Coinbase will be launching two futures contracts on July 21: nano Bitcoin Perpetual-Style Futures (0.01 BTC) and nano Ether Perpetual-Style Futures (0.10 ETH). The futures are designed as long-dated futures contracts with 5-year expirations and 24/7 trading hours. They incorporate a funding rate mechanism to keep futures prices closely aligned with spot markets. Unlike traditional US futures, these contracts are meant to stay as close to spot prices as possible and are far more suitable for long-term positions.
Additionally, the Coinbase perpetual-style crypto futures contracts will provide regulated exposure to the crypto market while offering flexibility in position sizing and capital efficiency. “You asked for it, we built it. Perpetual-style crypto futures are coming to the US on July 21,” wrote Coinbase CEO Brian Armstrong on X.
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The CFTC approval is a crucial factor: with the government agency approving Coinbase’s product quickly, investors won’t have to worry about compliance or restraints. CEO Brian Armstrong also announced the futures as “starting with BTC and ETH,” potentially hinting at products suitable for other coins like SOL and XRP in the future. Coinbase became the first CFTC-regulated derivatives platform in the US to offer round-the-clock access to XRP and SOL futures last month.