Monthly rolling futures trading volume on Coinbase International Exchange exceeded $38 billion, representing the highest trading volume since records first began in May 2024. This size reveals Coinbase’s continued influence on the futures market and its important role in the market.

According to the data, the 24-hour trading volume of Ether’s perpetual futures reached $1.5 billion, exceeding Bitcoin’s $1.3 billion volume. This success of Ether shows that investors are trading more on Ethereum-based futures. However, the total open interest in Ether futures was recorded at $10.9 million.

This figure is lower than the total open interest of Bitcoin futures, which is $20.9 million. This may indicate that Bitcoin futures are becoming more preferred, especially by large institutional investors.

Coinbase disclosed this data during a major cryptocurrency market decline. Bitcoin and Ether experienced double-digit price declines on Monday, indicating a serious downturn in the cryptocurrency market. These market fluctuations may cause investors to evaluate their crypto assets more carefully and reconsider their strategies.

Coinbase highlights perpetual futures, or “perps,” as a dominant force in crypto derivatives trading. These types of transactions are often preferred by investors due to their flexibility and efficiency. Coinbase notes that perps’ funding rate mechanism allows their prices to be closely tracked with spot prices.

This mechanism, like fixed futures, allows perps to move very close to spot prices. This accuracy makes perps popular not only for speculative trading but also for hedging and arbitrage strategies. These features of perps help investors manage their risks more effectively and enable them to react faster to market movements.

In September 2023, the Bermuda Monetary Authority (BMA) granted regulatory approval for Coinbase. This approval indicates that Coinbase has gained authorization to offer perpetual futures trading to customers outside the US.

Coinbase International, which launched in May 2023, was already offering crypto derivatives services to institutional customers. With this new regulatory approval obtained in September, Coinbase was authorized to offer regulated perpetual futures contracts to eligible customers on the Coinbase Advanced platform.

Coinbase stated that these perpetual futures accounts are managed by Coinbase Bermuda and regulated by the BMA. This regulatory approval enables Coinbase to serve a wider range of customers in the international market and gain greater influence in the crypto derivatives market.

Additionally, the exchange stated that approximately 75% of crypto trading volume originates from the derivatives market and the regulatory approval will enable retail investors to access the crypto derivatives market. This will allow retail investors to benefit from the crypto derivatives market, where it is mostly controlled by institutional players.

In June, Coinbase announced that it would offer pre-launch markets of its International Exchange and Coinbase Advanced platforms. These pre-launch markets will allow qualified retail users to trade perpetual futures contracts on tokens that have not yet been launched.