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Coinbase Derivatives Seeks Solana Futures CFTC Approval

Coinbase Derivatives Seeks Solana Futures CFTC Approval

Coinbase Derivatives has submitted a Solana Futures offering to the US CFTC in response to the demand for new crypto products.

Coinbase Derivatives, a cryptocurrency trading platform, has submitted an application for self-certification with the US Commodity Futures Trading Commission (CFTC) to list the Solana Futures Contract. The letter was addressed to Christopher Kirkpatrick of the Consumer Financial Protection Bureau (CFPB), emphasizing the product’s launch date of February 18.

The Solana Futures Product and Coinbase Derivatives

The platform stated that Solana Futures is a USD-settled index product type, as indicated by the self-certification. Although the contract quantity was shown as 100 Solana, the contract notional was estimated at approximately $25,000.

As per Coinbase Derivatives, the minimal tick size is $0.01 per Solana, with a minimum tick value of $1 per contract. Coinbase stated that the Solana Futures product will only be traded on specific days and times, in contrast to the offerings in its other entities.

In the footnotes accompanying the product, Coinbase Derivatives acknowledged the relative volatility of Solana. The exchange observed that the product may be influenced by its adoption based on its high-performance DeFi and Non-Fungible Token (NFT) ecosystems. Nevertheless, it emphasized that it has experience managing products in the two extreme market conditions.

This SOL Futures product is being introduced in response to increasing demand for a product more closely aligned with the Traditional Finance (TradFi) ecosystem. As previously reported, Cboe has refiled the Solana ETF 19b-4 for VanEck, Canary, Bitwise, and 21Shares. This filing demonstrates that a broader range of investors are interested in acquiring exposure to the coin, creating a ready market for the Coinbase Derivatives product.

Coinbase Derivatives Outlook for 2025

The Derivatives offering is operated by the Coinbase International Exchange, which has provided its outlook for the year in a distinct update. It intends to increase its market share by improving liquidity across the Solana Futures offering and the products listed. It stated that the Request for Quote (RFQ) feature was implemented to facilitate this process. This will enable the execution of substantial orders.

Furthermore, it intends to broaden the scope of insured assets. It has established a metric to achieve this by launching 50 to 80 new tokens in the year’s first half. Additionally, Coinbase Derivatives announced that it will enhance capital efficiency and reposition itself for the general ecosystem’s development.

This action plan is consistent with the more extensive Coinbase commitment to provide tier-1 infrastructure to Solana. As the largest exchange in the United States, it has frequently encountered criticism for its inadequate infrastructure for managing pressure. The trading platform is on the brink of a significant upgrade.

Solana Futures as a Regulatory Litmus Test

Caroline Pham was appointed as the Chair of the CFTC by President Donald Trump following his inauguration. Coinbase Derivatives Solana Futures filing will serve as a litmus test for her tenure, even though Pham has made a series of moves to demonstrate her pro-crypto stance.

The Bitwise Bitcoin and Ethereum ETF has been authorized by the US Securities and Exchange Commission (SEC), marking the first such approval under this administration. This approval symbolizes the unique transition in the crypto regulatory landscape.

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