Coinbase to launch ‘Nano’ ether futures contract via 6 brokers

abdelaziz Fathi

Coinbase​, the most popular US platform to buy and sell cryptocurrencies, is set to launch its second micro-sized cryptocurrency derivative product on August 29.

Roughly two months after the launch of its ‘nano’ Bitcoin futures, Coinbase is bringing another level of diversification to cryptocurrency traders with a similar Ether futures contract. The move gives investors the opportunity to buy a contract linked to the price of one-tenth of ether.

If Nano Ether futures contract (ET) was available today, it would be priced around $155, based on an Ether price of $1,555 at the time of writing.

Nevertheless, customers can only purchase the Nano futures contract through third-party brokerages as Coinbase has yet to receive a license to operate as a futures commission merchant.

Similar to the Bitcoin contract, the Nano Ether futures will be made available for trading via the following retail brokers: EdgeClear, Ironbeam, NinjaTrader, Optimus Futures, Stage 5, and Tradovate, and clearing firms ABN AMRO, ADMIS, Advantage Futures, Dorman Trading, ED&F Man, Ironbeam and Wedbush.

Delving into in the $3 trillion crypto derivatives market came after Coinbase acquired FairX in January as part of its goal of offering crypto futures and options trading to its customers. FairX, which is registered with the federal Commodity Futures Trading Commission (CFTC), rebranded as Coinbase Derivatives Exchange.

Closely tied to its older brother, the smaller-sized contract is based on the same underlying reference index, and is settled in cash. The micro Ether futures will have just 1/10 of the notional value of the original contract.

It’s worth bearing in mind that the both Bitcoin and Ether nano futures contracts are not offered as leverage-type bets that drive volume on exchanges like Binance.

Coinbase said the move marks a new development in the crypto futures market that will give new access to retail investors, either those looking to branch into different markets or struggling to participate due to limited capitalization.

One-tenth of the size of standard contracts is introducing professional traders to many benefits when trading these limited-risk contracts. Declining prices led to a jump in open interest and trading volume for ether futures as investors sought to hedge their positions in the spot market by opening futures positions at the exchange.

“While still in its early stages, we believe that product innovation and an accessible entry point for the retail market have contributed to its success. At 1/100th of Bitcoin, our Nano Bitcoin futures contract requires less upfront capital, allowing participants to easily go long or short the price of Bitcoin and manage risk in volatile markets,” the exchange said.

Read this next

Digital Assets

Mercado Libre launches crypto trading in Chile

Argentine e-commerce giant Mercado Libre (MELI) is continuing with expansion plans for its crypto business with a fresh launch in Chile, a comparatively wealthy South American nation.

Digital Assets

Gemini to launch overseas derivative exchange amid US crackdown

Gemini, the cryptocurrency exchange founded by the Winklevoss twins, is reportedly developing an international derivative trading platform in response to a US domestic crackdown on crypto assets.

Digital Assets

Thailand’s SEC to scrap $8,800 limit for retail investment in ICOs

Thailand’s Securities and Exchange Commission (SEC) plans to lift the limit for retail investors who want to participate in initial coin offerings (ICOs) to boost asset-backed digital investments in the country.

Digital Assets

Kraken signs commitment to launch regulated business in Canada

San Francisco-based cryptocurrency exchange Kraken has filed a pre-registration undertaking with a Canadian provincial regulator as it works towards becoming a regulated provider in the country.


TT’s Keith Todd brings fixed income and cybersecurity to FIA Boca 2023

FinanceFeeds Editor-in-Chief Nikolai Isayev spoke with Keith Todd about Trading Technologies’ move to fixed income after nearly 30 years of existence. TT is also proposing cooperation and transparency among competitors to tackle cyber risks.

Digital Assets

Binance joins FIDO Alliance to enhance user security with introduction of passkeys

“With passkeys, a user can quickly and safely sign in across multiple sites, apps, and devices with local biometric authorization. Binance will offer users a more secure and streamlined experience using passkeys on our platform without compromising on security”.

Digital Assets

ipaymy taps TripleA in Singapore for rent, invoices, taxes, salaries in Crypto

“Our white label crypto payment solution enables our partners to reap the benefits of accepting crypto payments, without managing crypto on their balance sheets. This makes it an ideal solution for businesses looking to offer cryptocurrency payments volatility-free.”

Industry News

London and New York rank joint first as top financial centers, according to…London

“The UK remains one of the most open and global financial centres with better access to international markets than the US, France, or Japan. But our competitive advantage is at risk.”


Sterling Trading Tech (STT) discusses their Risk & Margin System at FIA Boca 2023

FinanceFeeds Editor-in-Chief Nikolai Isayev spoke with Chief Customer Officer Keith Cacciola and Managing Director of Business Development Andrew Actman about STT’s competitive advantages, the challenges their clients face today, the firm’s product roadmap and new leadership at STT.