Coinbase, the largest US cryptocurrency exchange, launched the Coinbase International Exchange, headquartered in Bermuda.
Coinbase has announced that it has opened a derivatives exchange outside the US in Bermuda amid US regulatory pressure as part of its global expansion efforts.
Today Coinbase launched Coinbase International Exchange @CoinbaseIntExch and will begin by offering BTC & ETH perpetual futures settled in USDC with up to 5x leverage to institutional clients in eligible jurisdictions outside of the U.S.https://t.co/OzhbgJlZ2K
— Coinbase 🛡️ (@coinbase) May 2, 2023
Noting that crypto trading has begun in a blog post, Coinbase stated that traders will be allowed to trade on the price of Bitcoin (BTC) and Ethereum (ETH) via perpetual futures contracts with up to 5x leverage.
Coinbase made the following statements in its blog post:
“Coinbase International Exchange will enable corporate users located in eligible jurisdictions outside of the US to trade perpetual futures.
Perpetual futures accounted for around 75% of global crypto trading volume in 2022, creating highly liquid markets and giving traders additional versatility in their trading strategies.
Coinbase is and will continue to be affiliated with the USA. But countries around the world are increasingly moving forward with advanced regulatory frameworks in crypto to strategically position themselves as crypto hubs.
We would like to see the US take a similar approach to other countries rather than sanction regulation, which has led to a disappointing trend for crypto development in the US."
This repressive approach in the US is pushing crypto companies to offshore companies. Because apart from Coinbase, Gemini also announced the launch of its own international crypto derivatives exchange.