Coinbase Acquires Futures Exchange Amid Plans To Offer Crypto Derivatives to US Customers

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn

Crypto exchange giant Coinbase is announcing a new acquisition that will allow it to expand its product range into crypto derivatives.

Coinbase says it has acquired FairX, a futures exchange that is regulated by the U.S. Commodity Futures Trading Commission.

The cryptocurrency exchange says it will initially offer crypto derivatives to US customers through the new acquisition before offering them on its main Coinbase platform.

“Through this acquisition, we plan to bring regulated crypto derivatives to market, initially through FairX’s existing partner ecosystem.

Over time, we plan to leverage FairX’s infrastructure to offer crypto derivatives to all Coinbase customers in the US.”

Coinbase says that crypto derivatives products are in “high demand from investors who seek to effectively manage risk, execute complex trading strategies, and gain exposure to crypto outside of existing spot markets.”

FairX also offers the Bloomberg US Large Cap Index Futures, a product that grants exposure to the largest 500 US public companies.

Coinbase says that FairX will “operate normally” before the acquisition of FairX is finalized. The acquisition is expected to close by the end of March.

FairX joins other acquisitions made by Coinbase recently. In November of 2021, Coinbase acquired cryptographic security firm Unbound Security primarily for the company’s highly technical skills and expertise.

In November of 2021, Coinbase purchased cryptocurrency wallet platform Bread, a move that gave the exchange the possibility of enabling its users to custody their crypto assets on the Coinbase wallet.

Check Price Action

Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox

Follow us on Twitter, Facebook and Telegram

Surf The Daily Hodl Mix

&nbsp
Check Latest News Headlines

 

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/Jamo Images

Don’t Stop Here

More To Explore

Join the Convo!

New
Telegram
Channel

Get the latest crypto news, promotions and join in on the conversation right in our new Crypto Post Telegram Channel.