Coinbase Global, a publicly traded cryptocurrency exchange valued at approximately $18.37 billion, has recently announced that eligible customers from non-US jurisdictions can now trade perpetual futures on its advanced platform. This move allows Coinbase Advanced customers in selected jurisdictions to access perpetual futures on four digital assets, namely Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Ripple-backed XRP.
The perpetual futures contracts offered by Coinbase Advanced have a zero percent maker introductory fee and a 0.03 percent taker fee. Customers will have the opportunity to access leverage up to 5X on Bitcoin, Ethereum, and Litecoin, while XRP’s perpetual future contracts will offer up to 3X leverage. All contracts offered on Coinbase Advanced will be settled in Circle’s USDC stablecoin, which is highly liquid and backed by the US dollar with a market capitalization of around $25.4 billion.
With the launch of perpetual futures, Coinbase Advanced customers can now access both highly liquid spot markets and derivatives in one integrated, secure, and easy-to-use interface. This new feature allows customers to unlock new trading strategies with powerful tools like advanced order types, TradingView charts, and APIs for automation.
The launch of XRP perpetual futures comes at a time when the XRP price has struggled to maintain its upward momentum this year. Currently trading around 48 cents, down approximately 1.5 percent in the past 24 hours, the XRP perpetual futures on Coinbase could potentially unlock more liquidity and trading volume from different markets, contributing to the mainstream adoption of digital assets.
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In addition to the introduction of perpetual futures, the Coinbase Advanced platform is well capitalized through the company’s insurance fund and liquidity support program funded in USDC. This ensures that customers have access to sufficient liquidity and support for their trading activities.
Coinbase has been a significant supporter of XRP, particularly after a court ruling that stated the SEC did not prove that Ripple engaged in securities offers through centralized exchanges. Following this ruling, Coinbase quickly relisted XRP for derivatives trading, leading to a significant increase in trading volume and liquidity for the digital asset. As more products are launched in different markets, the demand for XRP is expected to outweigh the supply, potentially driving its price higher in the future.
From a technical standpoint, XRP’s price is well positioned to rally towards its all-time high after next year’s Bitcoin halving event. This event is anticipated to have a positive impact on the cryptocurrency market as a whole, including XRP.
Overall, the launch of perpetual futures on Coinbase Advanced is a significant development for both Coinbase and the XRP market. It provides advanced trading options for customers and increases liquidity and trading volume for XRP. As the mainstream adoption of digital assets continues to grow, initiatives like these contribute to the overall growth and development of the cryptocurrency industry.
It is important for readers to conduct their own research and exercise caution when trading cryptocurrencies. Crypto News Flash does not endorse any specific investment strategies or provide financial advice. Customers should carefully analyze the market and seek professional guidance before making any investment decisions.
