Coinbase to launch 'nano' bitcoin futures via brokerages as it pursues CFTC approval

Coinbase will roll out its first derivatives product next week with the launch of so-called "nano" bitcoin futures.

In a Thursday blog post, Coinbase Derivatives Exchange — the renamed FairX, which was acquired by Coinbase this year — said it would "launch its first listed crypto derivatives product on June 27, 2022: Nano Bitcoin futures contract (BIT), with each contract sized at 1/100th of a bitcoin."

According to a notice on the Coinbase Derivatives website, the initial offering is a USD-settled index future. Key to the launch is that the futures will be available via brokerages rather than through Coinbase itself.


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"Initially, BIT futures will be available for trading via several leading broker intermediaries, including retail brokers EdgeClear, Ironbeam, NinjaTrader, Optimus Futures, Stage 5, and Tradovate, and clearing firms ABN AMRO, ADMIS, Advantage Futures, ED&F Man, Ironbeam and Wedbush," Coinbase explained in the post, adding that it ultimately plans to offer these products directly should it receive approval as a futures commission merchant (FCM) by the Commodity Futures Trading Commission.

"Coinbase is awaiting regulatory approval on its own futures commission merchant (FCM) license so we can offer margined futures contracts directly to our clients," the post explained.

Coinbase's derivatives plans were outlined during a May presentation at a conference in March, as The Block previously reported.  In its post, Coinbase pitched the futures contract as having a retail focus.