Coinbase International Exchange Increases Perpetual Futures at 10x

Coinbase International Exchange, the overseas arm of the United States-based Coinbase crypto exchange, will leverage 10x the trading capacity for its perpetual futures products.

According to the December 28 announcement, the limit will apply to the popular exchange's durable futures contracts such as Bitcoin (BTC), Cardano (ADA), Ether (ETH), Litecoin (LTC), Solana SOL (SOL), XRP (XRP). And so on. Additionally, traders using 10x leverage will be limited to maintaining a notional value of $90,000 in all perpetual contracts.

Related: Coinbase could serve as TradFi's ‘index play on crypto' – Analyst

The company clarified that traders will be able to transact after reaching 10x leverage limits, but will be limited by the default initial margin (DM) requirements for their accounts. Depending on the digital assets, DIM ranges from 20% (5x leverage) to 40% (2.5x leverage) for Coinbase International perpetuals.

“These limits are reviewed frequently – the balance of the insurance fund is influenced by the depth of the exchange's order book, volumes and stress test results. We aim to provide clients with the best access to 10x leverage while balancing strategic risks for all traders involved in high volume trading.”

On September 28, Coinbase International began trading in non-stop futures for customers after receiving a Class F license from the Bermuda Monetary Authority (BMA). Only non-U.S. users in select countries can use Coinbase International Exchange, and customers will be prompted to assess their eligibility for the product before opening a Coinbase Advanced Business Account.

have you heard We've increased our leverage on all perpetual futures contracts to 10x, empowering you to execute more efficient trading strategies. Learn more about effectively trading perpetual futures pic.twitter.com/wKgYSVlAoG

— Coinbase International Exchange ️ (@CoinbaseIntExch) December 28, 2023

The offshore exchange was launched in May after its US parent, which was launched in Bermuda, faced action by the US Securities and Exchange Commission. At the time, the exchange praised Bermuda's regulatory environment for its “high level of transparency, compliance and cooperation”.