Coinbase currently offers futures products for Bitcoin and Ethereum. The latest move is to plan to open futures contracts for Dogecoin, Litecoin, and Bitcoin Cash on April 1, seemingly to force the SEC to recognize proof-of-work coins as not securities.
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Coinbase plans to launch DOGE, LTC, and BCH futures
Coinbase: Dogecoin surpasses its meme origins
Analyst: The purpose is to force the SEC not to classify PoW coins as securities
DOGE and BCH surge over 15%
The largest cryptocurrency exchange in the United States, Coinbase, has made another move in the derivatives trading market. Since receiving approval in August of last year to offer regulated cryptocurrency futures trading to eligible US customers, the products originally launched were only Bitcoin futures, Ethereum futures, and “micro” Bitcoin futures and Ethereum futures.
However, on March 7, Coinbase Derivatives announced in three separate filings with the US Commodity Futures Trading Commission (CFTC) its plans to launch cash-settled futures contract products for Dogecoin, Litecoin, and Bitcoin Cash.
As long as the CFTC does not reject them, these futures products will be available for trading as early as April 1. Coinbase praised Dogecoin heavily in the filing for its cultural and community significance, stating that the Dogecoin community and its charitable donations and fundraising activities support various causes, from the Olympic bobsled team to clean water projects in developing countries.
Despite starting as a meme, Dogecoin has achieved a significant market value, making it one of the top cryptocurrencies in terms of market capitalization at different points in time.
In response, Bloomberg ETF analyst James Seyffart pointed out on X yesterday that these filings may be a carefully planned move to compel the SEC not to classify any cryptocurrency assets based on the same proof-of-work mechanism as Bitcoin as “securities”.
Possibly influenced by this, DOGE, LTC, and BCH have all experienced significant increases in the past 24 hours, with gains of 15.5%, 5.2%, and 17.22%, respectively.
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