Crypto exchange Coinbase has rolled out perpetuals trading for eligible non-U.S. retail customers via the Coinbase Advanced platform — aiming to cater to the derivatives market.
Perpetuals, also known as “perps,” are a type of futures contract that lacks an expiration date and are a popular instrument among crypto derivatives traders.
The perpetuals trading offered by Coinbase starting today includes four contracts — Bitcoin (BTC), Litecoin (LTC), Ether (ETH), and XRP — all of which are settled in the USDC stablecoin. The service is available only to retail customers outside the United States who meet the eligibility criteria through standard assessment checks, according to a statement.
The derivatives contracts offered on Advanced allow eligible non-U.S. retail customers to tap into perpetual futures contracts offered by Coinbase International Exchange. Such users will be able to trade both spot markets and derivatives in one interface. They will also be able to use advanced order types and APIs for automated trading.
Leverage limits for various contracts
The Advanced platform offers a maximum leverage of up to 5x for BTC, ETH, and LTC contracts, while XRP contracts will have a leverage of up to 3x. Coinbase plans to introduce contracts for other cryptocurrencies in the coming months.
Regulatory oversight for these perpetual futures accounts is provided by the Bermuda Monetary Authority. Financial safeguards are in place through an insurance fund and a liquidity support program, both denominated in USDC stablecoin.
Earlier this year, Coinbase launched its international division with approval from the BMA to offer non-U.S. institutional clients perpetual futures trading.