Coinbase has completed its integration with derivatives exchange Deribit, creating a regulated route for eligible US customers to reach global crypto derivatives markets that have historically sat outside their direct reach.
Deribit liquidity now available through Coinbase’s regulated unit
The exchange said Wednesday that the integration links its international derivatives business with Deribit while allowing eligible US customers to access that liquidity through Coinbase Financial Markets, its derivatives unit regulated by the Commodity Futures Trading Commission.
Balances and positions on Coinbase International Exchange were migrated to Deribit on Oct. 1.
US traders had limited regulated access to offshore derivatives markets
According to Coinbase, crypto derivatives account for roughly 80% of global crypto trading volume. Even so, US traders have historically lacked a regulated path into the deeper options and perpetual futures markets available offshore.
That started to shift in May, when the CFTC issued guidance allowing Coinbase Financial Markets to connect US clients to global derivatives markets.
Institutions come first, retail options are scheduled next
Coinbase said US institutional clients will be able to access Deribit’s options and perpetual futures through Coinbase Prime and Coinbase Financial Markets. Before this, those clients typically needed offshore entities and separate trading infrastructure to reach the same markets.
Options through Coinbase Prime are expected to go live in the coming weeks. Coinbase also said it plans to roll out options for eligible non-US retail traders over the same period, with US retail access set to follow later this year.
Related development
In a related report, Cointelegraph noted that Coinbase received CFTC approval for a US derivatives clearinghouse.