Coinbase Seeks CFTC Approval for Solana and Hedera Futures

Coinbase, a leading U.S.-based cryptocurrency exchange, has filed an application with the Commodity Futures Trading Commission (CFTC) to list futures contracts for the Solana (SOL) and Hedera (HBAR) tokens. The exchange aims to launch these futures products by February 18, 2025, subject to regulatory approval.

This move is part of Coinbase's broader strategy to expand its product offerings and cater to the growing demand for regulated cryptocurrency futures from market participants. The filings include contract specifications, position limits, and liquidity enhancements designed to facilitate smooth trading.

Coinbase has proposed two types of futures contracts for Solana. The Standard Solana Futures (SLC) will have a contract size of 100 SOL, with an estimated notional value of $25,000 per contract if SOL trades at $250. The Nano Solana Futures (SOL) will have a smaller contract size of 5 SOL, with a notional value of $1,250 per contract. Coinbase has set a position limit of 3,500 SLC contracts, representing approximately 0.07% of Solana's market capitalization.

The Hedera Futures, also known as HED, is pegged at 5,000 HBAR per contract, with a position limit of 25 million HBAR. This would have a notional value of about $7.5 million per contract assuming a price of $0.30 per HBAR.

To boost liquidity, Coinbase will offer its Crypto Market Maker Program, which aims to maximize order book depth and improve trade execution for futures participants.

Upon approval, these contracts will allow traders to gain exposure to Solana and Hedera price changes without holding the underlying tokens, helping them manage risk while participating in the crypto market. Institutional and retail traders are likely to find these contracts attractive for diversifying their investments. The high-growth derivatives market in crypto presents new opportunities for investors seeking alternative trading strategies.

The rising demand for cryptocurrency derivatives from institutions is evident in Coinbase's filing. If the CFTC clears the application, it could mark another step toward expanding regulated crypto trading in the United States, including Solana and Hedera futures in the market.