Coinbase Options Launch Draws A Robust Volume

However, the exchange’s volume recently exploded with the launch of Coinbase options.

I had seen how big of an impact Coinbase had on the crypto industry when its IPO came to be. Crypto prices skyrocketed, both Bitcoin and Ethereum went higher than ever before, and Elon Musk’s favorite coin, DOGE, outperformed pretty much the entire crypto industry in regard to its yearly growth.

But, Coinbase was nowhere near the end of making headlines and attracting attention, as massive exchanges — Nasdaq CBOE Global Markets, the Intercontinental Exchange, and many others — soon launched trade-in Coinbase equity options.

I think this gives Coinbase the edge that it was looking for to secure its market domination. It still isn’t even close to Binance when it comes to trading volume, which currently dominates the market with $37 billion in volume. But, with $3.8 billion in volume, Coinbase is certainly not a platform you want to dismiss easily.

Even Coinbase options themselves exploded, with around 12,000 of them exchanging hands in the first two hours of trading last Tuesday. This also led to around 30,000 contracts exchanged on that first day, which is impressive for a crypto company but also a far cry from other popular stocks’ options on the day of their launch.

Coinbase is great, but it is no Facebook, whose options saw the trade of 360,000 contracts on launch date, and that was 9 years ago, in 2012. I feel like Coinbase, as a crypto company, made a great move in the right direction in going public and getting its own options that traditional investors can consider and reach. But, as a company, it has entered a much larger playground now, and it won’t be in the dominating minority for a long time to come.

That doesn’t mean that that day will never come, but I think that it will be a while before we see it. Even so, this should be counted as a victory for Coinbase, which got a lot as a crypto firm, but rather little as a firm in the broader financial industry.

Do you think that Coinbase is off to a good start?

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