In 2024, Coinbase’s platform for professional traders, known as Coinbase Advanced, experienced a significant increase in users and trading volumes. According to recent data provided by the cryptocurrency exchange, the platform saw a 191% rise in trading volumes, with derivatives trading experiencing particularly strong growth.
Derivatives Trading on the Rise
One of the primary drivers behind this surge in trading volumes was the rapid growth in derivatives trading. The figures show that derivatives products experienced an astonishing 10,950% increase in volumes throughout 2024. This marked a significant shift from previous years, with Coinbase launching its derivatives platform in the United States in 2022.
Coinbase Advanced: A Platform for Experienced Traders
Targeting experienced traders, Coinbase Advanced offers users a range of benefits in exchange for a flat monthly fee. These include:
- Discounted trading costs: By charging a fixed monthly fee, Coinbase Advanced provides users with reduced trading fees.
- Wider range of order types: The platform supports various order types, allowing users to execute trades more effectively.
- Advanced analytics tools: Users can access in-depth analysis and data visualizations to inform their trading decisions.
New Token Listings and Rising Market Sentiment
The growth in spot crypto trading activity on Coinbase Advanced was also fueled by a surge in new token listings. These included popular memecoins such as Moodeng (MOODENG), Mog (MOG), and Dogwifhat (WIF). This increase in market sentiment led to a significant 47% rise in spot crypto trading.
The overall market for cryptocurrency derivatives experienced a remarkable growth spurt in 2024. According to data from CCData, the monthly trading volume for crypto derivatives surpassed $3 trillion in September. This represents a more than doubling of year-over-year volumes, highlighting the rapidly expanding demand for these products.
Futures Contracts and Derivatives Trading
A critical component of the cryptocurrency market, futures contracts are agreements to buy or sell an underlying asset at a future date. These instruments play a vital role in hedging and speculation, allowing traders to leverage their bets with significant returns. As the popularity of derivatives trading continues to grow, it will be interesting to observe how Coinbase Advanced adapts to meet the evolving needs of its users.
Coinbase Global Stock Price
As the demand for Coinbase’s services increased, the company’s stock price also experienced a notable surge. In November 2024, shares of the cryptocurrency exchange broke past $300 for the first time since 2021. However, as of December 18, the stock has retracted slightly to around $280, according to data from Google Finance.
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