Coinbase is set to expand its derivatives offerings with the introduction of Solana futures contracts on its subsidiary platform, Coinbase Derivatives.
According to a filing with the U.S. Commodity Futures Trading Commission (CFTC) on January 30, the Solana futures will be available starting February 18, 2025.
The offering will feature two contract sizes to cater to different investment preferences. The standard contract will cover 100 SOL, currently valued at approximately $23,700, while smaller “nano” contracts will represent 5 SOL each. Both options will be cash-settled on a monthly basis, allowing traders to engage with Solana’s price movements with added flexibility.
As part of its risk management strategy, Coinbase Derivatives revealed that position limits for Solana futures will be set 30% lower than those for its Bitcoin futures. The platform cited Solana’s relatively higher volatility compared to Bitcoin and Ethereum as a key factor behind this decision. The filing highlighted that Solana’s 30-day volatility stands at 3.9%, compared to 2.3% for Bitcoin and 3.1% for Ethereum, reflecting the asset’s emerging market status and rapidly evolving ecosystem.
The benchmark rates for these contracts will be provided by MarketVector Indexes GmbH, a German index provider. This arrangement places the Solana futures under the regulatory oversight of Germany’s Federal Financial Supervisory Authority (BaFin).
The move follows recent speculation that the Chicago Mercantile Exchange (CME) might also be exploring the launch of Solana and Ripple’s XRP futures. This arose after a leaked beta webpage outlining proposed contract details briefly appeared online before being taken down.
The proposed launch of Solana futures also comes on the heels of recent technical issues faced by Coinbase users. CEO Brian Armstrong previously apologized for widespread delays and cancellations of Solana-related transactions caused by infrastructure challenges. These problems surfaced during a surge in Solana activity, leading to frustration among users over disrupted transactions.
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