Coinbase has introduced perpetual futures contracts tied to major U.S. equities, making it one of the first centralized exchanges to offer such a product. This move diversifies its derivatives offerings beyond cryptocurrency, targeting a broader audience and expanding its product suite.
The new contracts encompass the so-called “Magnificent 7” stocks — Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta, and Tesla — as well as ETF perpetuals that track the S&P 500 (SPY) and Nasdaq-100 (QQQ) in select regions. These products are available to eligible non-U.S. retail users on Coinbase Advanced and to institutional clients on the Coinbase International Exchange.
Trading is available around the clock, with contracts being cash-settled in USDC. Investors can leverage their positions significantly, with up to 10x leverage on individual stocks and 20x on ETF products. Similar to traditional perpetual contracts in the crypto space, these have no expiration date and utilize a funding rate mechanism to align prices with the underlying spot markets.
The launch of these equity-linked futures positions Coinbase in direct competition with decentralized finance (DeFi) platforms that have made headway in offering similar products. TradeXYZ, a component of the Hyperliquid tokenization platform, has reported over $1.4 billion in open interest and daily trading volumes exceeding $1 billion, according to figures from DeFiLlama. Additionally, TradeXYZ recently secured a license from S&P Dow Jones Indices to issue the first officially sanctioned S&P 500 perpetual futures contract on the blockchain, giving ground to the decentralized segment of the equity market.
In a blog post regarding the launch, Coinbase acknowledged the growing demand for continuous equity exposure, which has increasingly shifted toward decentralized platforms. This rollout comes on the heels of Coinbase’s recent expansion of its derivatives offerings in Europe, where its MiFID-regulated entity introduced crypto futures across 26 countries earlier this month. The company has indicated plans to further enhance its derivatives portfolio by adding additional equities, indices, commodities, and various globally traded assets in the future.
