Whether that is for US users or not remains to be seen.
Coinbase would most likely need sufficient regulatory clarity from U.S. authorities before enabling margin trading for clients.
However, it sounds like they may be seeking it...
A Coinbase VP had this to say on the matter:
"We still need to figure that out because there’s not a lot of regulatory clarity there right now in the US. And so that that is being discussed.”
(Source: https://www.ccn.com/coinbase-hints-bitcoin-margin-trading-usa)
This quote was in response to several of the world's largest crypto exchanges allowing margin and/or moving towards margin outside the US.
Talking specifically about Bitmex and Binance.
Overall, this would be very interesting for crypto in both directions.
On the one hand, allowing US based users the opportunity to use margin should they qualify would likely add fuel to bull markets.
However, it might also allow those looking to bet against bitcoin and the like their first opportunity to do so in the spot markets.
Which likely would allow them to help drive prices down in bear markets.
(Source: https://www.ccn.com/coinbase-hints-bitcoin-margin-trading-usa)
Not completely sure, but I think it would be positive.
Allowing traders/investors to adequately make bets in both directions is needed for accurate price discovery.
Which means in that regard, I think it would be a very good thing.
What do you think?
Stay informed my friends.
-Doc
