CFTC approves Coinbase Clearing LLC to clear fully collateralized derivatives
Business
Coinbase just got the go-ahead from US regulators, the Commodity Futures Trading Commission (CFTC), to launch Coinbase Clearing LLC, a new clearinghouse that will let it handle fully collateralized futures, options on futures, and swaps.
This means Coinbase can now clear these types of trades itself, though its margined derivatives business is not included in this approval.
Coinbase Clearing LLC to use USDC
This move wraps up Coinbase's plan to offer a full suite of regulated US crypto derivatives services, exchange, brokerage, and now clearing, all under one roof.
The new clearinghouse will work 24/7 and use USDC as collateral for settling trades.
This all builds on its earlier FairX acquisition, which helped set the stage for today's news.