Coinbase Files to Offer Single-Stock Perpetual Futures in the US
(11 days ago) · 1 source · Summarized by CryptoBipto
Coinbase has filed to introduce single-stock perpetual futures contracts to the US market. Perpetual futures are a type of derivative contract common in crypto trading that, unlike traditional futures, have no expiration date. This filing represents an effort to bring a crypto-native financial product into the traditional equities space.
WHY IT MATTERS
Think of a futures contract like a bet on where the price of something will be in the future. A regular futures contract has an end date, like a coupon that expires. A perpetual future is like a coupon that never expires — you can hold the position as long as you want. This type of contract became very popular in crypto trading but has not been available for stocks in the US. Coinbase is now trying to bring this crypto-style product into the stock market. If approved, it could blur the lines between crypto trading platforms and traditional stock exchanges, which matters because it shows how ideas from the crypto world are starting to influence mainstream finance.
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- newsbtc.com
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