Coinbase files with CFTC to list futures for five altcoins.
The five altcoins futures include DOT, SHIB, XLM, AVAX, and LINK.
Trading for these futures to begin on or after July 15, 2024.
Coinbase has filed with the Commodity Futures Trading Commission (CFTC) to list futures for five popular altcoins: Polkadot (DOT), Shiba Inu (SHIB), Stellar (XLM), Avalanche (AVAX), and Chainlink (LINK).
According to a release by Coinbase, these new futures products are set to start trading on or after July 15, 2024.
Coinbase seeks to expand its product suite
The addition of these futures is a significant step for Coinbase as it seeks to enhance its product suite and provide its users with more versatile trading options.
Futures contracts are financial derivatives that obligate the buyer to purchase, or the seller to sell, an asset at a predetermined future date and price. This allows traders to speculate on the future price movements of these altcoins with reduced upfront capital requirements compared to spot trading.
Coinbase emphasized the benefits of this expansion stating:
“With the addition of AVAX, LINK, DOT, XLM, and SHIB, our participants and their clients gain more access points to manage risk, speculate on price movements, and participate in the cryptoeconomy with reduced upfront capital requirements. This expansion not only diversifies our product suite but can also enhance our users’ overall trading experience.”
Among the five tokens, Avalanche (AVAX) holds the largest market capitalization, valued at $11.1 billion, followed by Shiba Inu (SHIB) with a market capitalization of $10.1 billion.
By introducing futures for these specific tokens, Coinbase is positioning itself to attract a broader range of traders and investors. The new futures products are expected to provide additional tools for market participants to hedge their investments and capitalize on the volatility of the cryptocurrency market.
Coinbase’s move underscores its commitment to innovation and growth within the rapidly evolving digital asset space, ensuring that it remains at the forefront of the industry.
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