Coinbase could launch an offshore derivatives exchange as soon as next week, after the crypto exchange received a license to operate in Bermuda.
The company obtained a license from the Bermuda Monetary Authority, according to a company blog post published on Wednesday. Coinbase lauded Bermuda as “a highly respected and experienced financial regulator” in its announcement.
Coinbase had been exploring launching an offshore platform to trade perpetual swaps tied to cryptocurrencies, The Block reported last month. That expansion could come as soon as next week, a source familiar told The Block. Fortune first reported the news.
“Bermuda was one of the first financial centers to pass comprehensive digital assets regulation in 2018, and its regulatory environment is long known for a high level of rigor, transparency, compliance, and cooperation,” Coinbase said in its blog post. The company did not immediately respond to a request for comment.
Perpetual swaps — a type of future and a popular product in the crypto space – are expected be among the offerings. They provide a more capital-efficient way for traders to make bets on the underlying crypto market.
Update: This story has been updated with information about the start timing.
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