Coinbase International Exchange, holding a class F license from the Bermuda Monetary Authority (BMA), has announced that it has obtained additional regulatory approval to offer perpetual futures trading to non-US retail customers.
Coinbase International had previously launched crypto derivatives services for institutional clients in May 2023. With this latest regulatory approval, the platform is set to provide eligible customers access to regulated perpetual futures contracts on the Coinbase Advanced platform in the coming weeks. The exchange clarified that Perpetual Futures accounts are managed by Coinbase Bermuda Limited, a regulated entity under the supervision of the BMA.
The exchange pointed out that nearly 75% of crypto trading volume comes from the derivatives market, making it essential for retail traders to access this market traditionally dominated by institutions. Coinbase emphasized that it does not engage in market making and relies on independent liquidity providers who have undergone comprehensive compliance reviews to provide liquidity on its platform.
Coinbase sees its platform as a secure and compliant gateway for retail traders to enter the derivatives market. Access to Coinbase International Exchange is currently limited to non-US consumers in select countries, and customers must undergo an eligibility assessment before opening a Coinbase Advanced trading account.
This regulatory approval for Coinbase International to offer perpetual futures to retail customers comes shortly after the platform received approval from the National Futures Association (NFA) to offer crypto futures investments to eligible institutional clients in the United States.
Despite facing regulatory challenges in the United States, including a lawsuit filed by the U.S. Securities and Exchange Commission (SEC) over alleged violations of securities laws, Coinbase continues to expand its services globally.