Coinbase to Launch XRP Futures Trading

Coinbase Derivatives anticipates launching XRP futures trading on Monday.

Coinbase Derivatives is expected to launch XRP futures trading on Monday, according to the latest announcement from the cryptocurrency exchange.

Investors can expect to receive further updates on launch timings and availability in the days ahead.

Coinbase Derivatives is a division of the cryptocurrency exchange Coinbase (NASDAQ:COIN), which focuses on offering futures and other derivatives products to institutional investors.

Coinbase Derivatives Applies for XRP Futures Trading

Earlier this month, Coinbase Derivatives submitted an application to the Commodities Futures Trading Commission (CFTC) to “self-certify” XRP futures.

Coinbase disclosed in a Form 8K filing with the Securities and Exchange Commission (SEC) on April 4 that its subsidiary, Coinbase Derivatives, had submitted an application to the CFTC for the self-certification of its new standardized futures contracts in bitcoin, ether, and XRP.

The application was made under the provisions of Section 15(a) of the Commodity Exchange Act and aims to list and trade the futures contracts on a new derivatives exchange to be operated by Coinbase Derivatives.

The SEC filing also mentions that the CFTC is currently reviewing the application. Once approved, it will allow Coinbase to introduce institutional-grade futures trading in bitcoin, ether, and XRP.

These new offerings will expand the investment opportunities for institutional investors interested in engaging with the cryptocurrency market in a more sophisticated manner.

The news comes as the price of Ripple’s XRP has seen a surge in recent days, trading above the $2 level on Monday.

Buyers have been pushing the token higher from the April lows, showcasing resilience and determination to bid up the asset.

Coinbase May Launch XRP Futures Trading Monday

According to CoinGlass data, the funding rate for XRP perpetual futures on major cryptocurrency exchanges is getting into positive territory, which signals that more traders are getting bullish on the token.

This could propel XRP to higher levels in the days ahead.

Coinbase Derivatives is preparing to introduce XRP futures trading as early as Monday, while a recent increase in open interest for bitcoin futures from institutions could be another factor driving the cryptocurrency’s bullish momentum.

Despite the cryptocurrency market showing signs of recovery and technical indicators presenting buy opportunities, a loss of support at $2.00 could lead to a faster decline to the 200-day EMA at $1.95.

As Coinbase expands its offerings to cater to institutional investors, it is also navigating the regulatory landscape.

Earlier this year, Coinbase paused its lending program after the SEC threatened legal action. The SEC is also investigating Coinbase for allegedly selling unregistered securities.