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Crypto Exchange Coinbase launching DOGE futures stating it transcended meme origins. Trading will be available on April 1.
In a groundbreaking move, Coinbase Derivatives announced its intention to launch futures trading for three prominent cryptocurrencies: Dogecoin (DOGE), Litecoin (LTC), and Bitcoin Cash (BCH).
The company’s bold step to add DOGE Features signifies growing mainstream acceptance of the digital asset, transcending its origins as a mere meme and positioning it as an integral component of the crypto landscape.
Coinbase’s Ambitious Venture
Coinbase, a leading cryptocurrency exchange, believes that Dogecoin, in particular, has outgrown its initial status as a joke and now stands as a resilient force in the crypto world. The enduring popularity of DOGE, coupled with robust community support, has prompted Coinbase to forge ahead with its plans. The company aims to introduce cash-settled futures contracts for these three coins, with the launch scheduled for April 1.
Read Also: Coinbase 1 Billion Strategy: Financing Future Without Diluting Shares
A Calculated Move
While some market observers scratch their heads at this unexpected development, analysts speculate that Coinbase’s strategic move could be a calculated play. By listing futures contracts, the exchange may be subtly nudging the Securities and Exchange Commission (SEC). The filings could potentially influence the SEC’s classification of crypto assets based on the same proof-of-work consensus mechanism as Bitcoin. The goal? To prevent such assets from being labeled as “securities.”
Market Dynamics and Investor Sentiment
As DOGE’s price surges by 27% in the past week, reaching $0.15, the notional open interest tied to the meme coin’s futures has skyrocketed to $625 million. This surge in open interest, combined with rising prices, confirms an upward trend. Funding rates on various exchanges have also spiked, indicating investor preference for bullish bets. However, market participants should remain vigilant. Joke cryptocurrencies like DOGE tend to amplify Bitcoin’s movements, often behaving as leveraged plays on the dominant cryptocurrency.
Coinbase launching DOGE Futures Stating It Transcended Meme Origins Conclusion
Coinbase’s bold move to introduce futures trading for Dogecoin, Litecoin, and Bitcoin Cash underscores the maturation of these digital assets. As the crypto landscape evolves, these once-memed coins now take center stage, challenging traditional norms and reshaping investor sentiment.
