Crypto exchange Coinbase revealed the fact that it’s buying an entity that will allow it to expand its product offerings into crypto derivatives.
According to the official notes, Coinbase says it has acquired FairX – this is a futures exchange that is regulated by the U.S. Commodity Futures Trading Commission.
The crypto exchange said that it will initially offer crypto derivatives to US customers via the new acquisition before offering them on its main Coinbase platform.
“Through this acquisition, we plan to bring regulated crypto derivatives to market, initially through FairX’s existing partner ecosystem. Over time, we plan to leverage FairX’s infrastructure to offer crypto derivatives to all Coinbase customers in the US.”
Coinbase explains that crypto derivatives products are in “high demand from investors who seek to effectively manage risk, execute complex trading strategies, and gain exposure to crypto outside of existing spot markets.”
FairX also offers the Bloomberg US Large Cap Index Futures, a product that grants exposure to the largest 500 US public firms.
We suggest that you check out the complete notes on Coinbase’s blog.
Coinbase on Bitcoin
At the end of last year, Coinbase addressed the following about Bitcoin.
Coinbase praised Bitcoin and said that there’s nothing that can compete with it. In a new blog post, the crypto exchange explained that Bitcoin is standing alone as a digital version of gold and other blockchains have gravitated towards becoming platforms for Dapps.
It’s also important to note the fact that the crypto exchange aims to refute some of the common criticisms against the king crypto.
“Proponents believe Bitcoin is in competition with Web 3.0 cryptos. It’s not. It is trying to be one thing above all else: digital gold.”
Coinbase also noted the following:
“Nearly every other actively developed cryptocurrency besides BTC has the same product vision as Ethereum: create a decentralized application platform, often called ‘Web 3.0.’ They are trying to build the next Internet, to enable ‘unstoppable apps,’ not build digital gold.”
Bitcoin is trying to recover its price losses amidst the market correction.