Coinbase Plans 10x Spot-Margin Trading, Excluding U.S. Retail

Coinbase plans to introduce spot-margin trading with leverage of up to 10x, but ordinary U.S. retail customers will be excluded from the product.

The exchange announced Oct. 7 that the service will roll out in the coming weeks for eligible customers in selected jurisdictions. Traders will be able to borrow against crypto collateral, with leverage reaching 10x for selected major assets and 5x for other supported assets.

The product will not be available to U.S. customers except Eligible Contract Participants. That category generally includes individuals with more than $10 million in discretionary investments, or more than $5 million when managing risk.

Customers will be able to post collateral in more than 15 supported assets and view loan balances, collateral levels and margin health in real time. Coinbase warned that collateral may be liquidated without notice and that losses can exceed the initial deposit.

Coinbase has not disclosed the jurisdictions where the service will launch, its borrowing rates, liquidation thresholds or which assets will qualify for 10x leverage. The spot-margin product is separate from Coinbase Financial Markets’ U.S. derivatives business.