Coinbase Launches Regulated Crypto Derivatives in Canada With Up to 10x Leverage

Coinbase has launched regulated crypto derivatives trading in Canada, giving eligible users access to perpetual and dated futures contracts tied to Bitcoin (BTC), Ether (ETH), Solana (SOL), and other digital assets. The offering includes 23 crypto perpetual and dated futures, five commodity futures, and the Coinbase 50 Index, according to a Wednesday announcement. The contracts use nano-sized positions and offer leverage of up to 10x, making derivatives accessible to a broader range of retail and institutional traders.

The products are offered through Coinbase Financial Markets, a futures commission merchant registered with the US Commodity Futures Trading Commission, which operates in Canada under foreign dealer and futures commission merchant exemptions. Coinbase claims it is the first major crypto-native platform to offer direct native crypto futures in Canada. However, access is limited to eligible Canadian customers, including those with at least $5 million in net financial assets, as well as registered investment advisers and dealers.

The Coinbase launch comes as US trading platforms rapidly expand their crypto presence in Canada. On Monday, online brokerage Webull extended crypto trading to Canadian customers using Coinbase's infrastructure for trading and custody, adding digital assets alongside its existing stocks, ETFs, and options offerings. Webull cited rising adoption as one reason for the move, noting that crypto ownership in Canada climbed to 25% this year from 10% in 2023, according to Ontario Securities Commission research.

Robinhood also entered the Canadian market in June through its $180 million acquisition of local crypto company WonderFi, gaining control of Canadian exchanges Bitbuy and Coinsquare, along with approximately 300,000 funded customers and WonderFi's Canadian regulatory licenses. The influx of trading platforms arrives as Canada tightens oversight of other parts of the crypto market, including a proposed ban on crypto ATMs over scam and money laundering concerns, and legislation to prohibit cryptocurrency donations to political parties.