Coinbase has filed registration documents with the U.S. Securities and Exchange Commission as part of an effort to offer equity perpetual contracts to U.S. investors.
Perpetual contracts track the price of an underlying asset but do not expire, allowing traders to maintain exposure without rolling futures into later contracts. They are already widely used internationally in cryptocurrency markets.
Coinbase Chief Policy Officer Faryar Shirzad said equity perpetuals have demonstrated international demand and that the company wants to create a regulated path for U.S. investors.
SEC registration is only one part of the process. Coinbase would also need Commodity Futures Trading Commission approval before the product could be offered.
Coinbase and Kalshi already received CFTC approval earlier this year for crypto perpetual futures, demonstrating that U.S. regulators are beginning to confront products long associated primarily with offshore exchanges.
TOKEN RECON ASSESSMENT
The significance extends beyond Coinbase.
Traditional securities, crypto trading mechanics and regulated derivatives markets are beginning to converge. If approved, equity perpetuals could further blur the dividing line between crypto exchanges and conventional brokerages.
Source: Reuters report
