Coinbase has secured approval to offer cryptocurrency futures trading to US retail customers.
The exchange has revealed that it has been granted approval by the National Futures Association (NFA), a self-regulatory organisation designated by the CFTC, to offer US retail customers the iinnovative service.
The announcement will make it the first crypto-native platform to directly offer traditional spot crypto trading alongside leveraged crypto futures, following the two-year application process.
Greg Tusar, VP, institutional products, Coinbase, wrote in a blog: “We believe this is a watershed moment to be able to bring regulated crypto products to US customers.”
The approval is regulatory win for Coinbase, following the company’s public battle with SEC.
Earlier this year, the crypto-exchange also reached a $100m settlement with the New York Department of Financial Services over compliance program issues.
As punishment Coinbase will pay a $50m fine and will also invest $50m into bolstering its compliance programs.
The New York department said it found ‘significant failures’ in Coinbase’s compliance program that violated New York Banking Law and state regulations regarding virtual currencies, cybersecurity, money transmitting and transaction monitoring.
The NYDFS noted that the flaws in Coinbase’s compliance program made the firm vulnerable to criminal conduct such as fraud, money laundering and activity related to child sexual abuse material and narcotics trafficking.
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