Coinbase Receives CFTC Approval for Derivatives Clearing Organization License
Summary
- Coinbase has received derivatives clearing organization (DCO) approval from the U.S. CFTC.
- The approval allows Coinbase to directly clear fully collateralized futures, options on futures and swaps.
- DeFi Rate said the DCO approval gives Coinbase a foundation to expand its derivatives business without relying on third-party clearinghouses.
Forecast Trend Report by Period
Coinbase, the U.S. cryptocurrency exchange, has received approval from the U.S. Commodity Futures Trading Commission for a derivatives clearing organization, or DCO.
According to DeFi Rate on Oct. 3, the CFTC approved Coinbase's DCO application this week. The approval allows Coinbase to directly clear fully collateralized futures, options on futures and swaps.
The approval does not authorize any specific derivatives or prediction-market products. What products Coinbase can clear, and the underlying assets tied to them, will depend on each product and the applicable regulations.
Coinbase is seeking to expand its derivatives business. In June last year, it announced plans with clearinghouse Nodal Clear to launch futures products using the dollar-denominated stablecoin USDC as collateral.
DeFi Rate said the DCO approval gives Coinbase a foundation to expand its derivatives business without relying on third-party clearinghouses.
Uk Jin
wook9629@bloomingbit.ioH3LLO, World! I am Uk Jin.