The NFA Grants Coinbase Permission to Offer Bitcoin and Ethereum Futures in the US
Crypto exchange Coinbase has obtained permission from the US National Futures Association (NFA) to offer Bitcoin and Ethereum futures in the country. This is a significant development as it opens up futures trading to a wider audience and allows US citizens to participate in the market. Coinbase is the first crypto exchange in the US to receive authorization for these futures products.
Coinbase Calls the Decision a “Watershed Moment” for the Crypto Market
Coinbase describes the NFA’s decision as a “watershed moment” for the cryptocurrency industry. The exchange believes that this approval will lead to greater participation in the market and provide US customers with seamless access to regulated derivatives products. This milestone highlights Coinbase’s commitment to complying with regulatory requirements and protecting its customers.
Coinbase’s Chief Legal Officer: “This Moment Was Years in the Making”
Paul Grewal, Coinbase’s Chief Legal Officer, emphasizes the significance of this approval, stating that it was a moment that had been years in the making. He highlights Coinbase’s dedication to aligning with regulators and promoting innovation in the crypto economy. This milestone reflects Coinbase’s commitment to the responsible growth of the cryptocurrency industry.
Coinbase’s Approval Could Reverse the Perception of a Cryptocurrency Ban in the US
The approval of Coinbase by the NFA is expected to reverse the perception that the US is moving towards a ban on cryptocurrencies and blockchain technology. The lawsuits filed by the US Securities and Exchange Commission (SEC) against major crypto exchanges, including Coinbase, have created a sense of hostility towards the industry. However, this approval signifies a positive step forward and shows regulators’ willingness to engage with and support the crypto market in the US.
COIN Trades at $79 Following the NFA’s Approval
After receiving approval from the NFA, Coinbase’s native token, COIN, is trading at $79. The approval has boosted investor sentiment and led to an increase in the token’s value. With the potential for broader participation in the market through futures trading, Coinbase’s approval from the NFA is likely to have a positive impact on COIN’s performance and the overall sentiment surrounding the cryptocurrency industry.
Analyst comment
Positive
As an analyst, I predict that the market will experience increased participation and positive sentiment as a result of Coinbase’s authorization to offer Bitcoin and Ethereum futures in the US. This milestone opens up futures trading to a wider audience and signals regulators’ willingness to support the crypto market, fostering innovation and investor protection. The approval has already had a notable impact on Coinbase’s COIN token, with an uptick in its value. Overall, this development is expected to contribute to the growth and development of the cryptocurrency industry in the US.
