Coinbase files for SEC approval to offer equity perpetuals

Sept. 3 (Reuters) - Coinbase COIN.O has filed registration documents with the U.S. Securities and Exchange Commission to offer equity perpetuals, the crypto exchange's chief policy officer said in a social media post on Thursday.

Here are some details:

• Perpetuals, also called "perps," are derivative contracts that track underlying assets and do not expire, allowing traders to hold positions indefinitely without the need for a roll-over.
• The product will need Commodity Futures Trading Commission approval next, Chief Policy Officer Faryar Shirzad said in a post on X.
• "Equity perps have proven demand internationally, and we're excited at the prospect of a regulated pathway for U.S. investors," Shirzad said.
• The crypto exchange received CFTC approval alongside prediction markets platform Kalshi to offer perpetual crypto futures earlier this year.
• Kalshi filed for CFTC approval to launch equity index perpetuals, putting it in more direct competition with incumbent exchanges.
• The regulator's greenlight has weighed on the sentiment in exchange stocks in the first half of the year, which are recovering from a selloff in the first half.