Coinbase Raises SHIB ETF Chances with New Derivatives Filing

A ground-breaking discovery in Coinbase filings awakens Shiba Inu custodians, rushing to sign the SHIB ETF petition.

Shiba inu on a floating land speaking about ETF.
Created by Kornelija Poderskytė from DailyCoin
  • Coinbase Derivatives submitted new filings for CFTC-compliant futures contracts.
  • In case of approval, SHIB’s exchange-traded fund odds get a substantial boost.
  • The SHIB ETF petition on Change.org surpassed 11K signatures and is now targeting 15K.

The Commodity Futures Trading Commission (CFTC) has approved several margin futures contracts, including Shiba Inu (SHIB). According to an announcement from Coinbase on June 28, 2024, the Coinbase Derivatives subsidiary is getting ready to launch the new futures smart contracts on July 15, 2024. It hopes that SHIB’s new contract, along with four other popular cryptocurrencies, will be approved by the CTFC by then.

Coinbase to Put SHIB ETF on the Map?

The filing documents labeled 1K SHIB Futures indicate that the upcoming SHIB Derivatives contract on Coinbase will operate under a self-certification model. Coinbase’s move bolsters the chances of an eventual Shiba Inu exchange-traded fund (ETF) in several ways.

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Regulatory approval of a Futures ETF product declares the associated digital asset mature enough for CFTC-regulated Derivatives trading. Due to robust market liquidity, such recognition can play a pivotal part in the crypto currency’s development while simultaneously laying the foundation for a potential ETF product.

Besides mature crypto market liquidity needed to support the ETF’s inception, regulated Futures markets tend to contribute towards the underlying asset’s price discovery. A Shiba Inu Futures product on Coinbase’s Derivatives provides a mechanism for crypto enthusiasts to share their opinion on the coin’s future price movements.

Both a Shiba Inu ETF and Shiba Inu Futures add an extra layer of investor protection. A clearly regulated environment can raise the confidence of crypto investors, as adequate safeguards are in place to protect SHIB investors against the dangers normally associated with the Wild West of decentralized finance markets (DeFi).

Shiba Inu’s ETF petition has already garnered over 11,353 signatures, with the next goal set at 15,000.

On the Flipside

  • Aside from the regular security checks, there are other points to consider when choosing a crypto-based exchange-traded fund (ETF) product.
  • Historical price fluctuations, price manipulation hazards, general crypto market sentiment, and other factors could lead to approval or denial of the Shiba Inu ETF.

Why This Matters

A potential Shiba Inu ETF product would open up broader access to crypto for investors looking to join the space through a clearly regulated environment.

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This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Tadas Klimasevskis

Tadas Klimaševskis is a Lithuanian journalist at DailyCoin, specializing in covering the lighter side of the crypto industry such as memecoins and pop culture in the metaverse. He has experience as a music artist, English language teacher, and freelance writer, and uses his creative writing skills to summarize valuable information in his work. He is also a strong believer in the potential of blockchain and spends his free time listening to music, traveling, and watching basketball games.