Benzinga - Bitcoin (CRYPTO: BTC) offshoot, Litecoin (CRYPTO: LTC), surged 6.78% to $86.03 on Wednesday at the time of writing. On the same day, Litecoin said that Coinbase Global had filed with the Commodity Futures Trading Commission to kick off futures trading for the cryptocurrency.
What Happened: It should be noted that the cryptocurrency trading platform also moved to launch monthly cash-settled futures contracts for Dogecoin (CRYPTO: DOGE) and Bitcoin Cash (BCH).
BREAKING: @Coinbase filing with CFTC to kick off futures trading for Litecoin! https://t.co/wUccfVCRHC— Litecoin (@litecoin) March 21, 2024
Bloomberg Intelligence ETF research analyst, James Seyffart, said on X that Coinbase’s move raises interesting regulatory questions with respect to the classification the three Bitcoin forked cryptocurrencies. He said, “Might be why Coinbase chose them.” He also shared the certifications, filed “quietly” with the CFTC, in the same post.
“These all forked from Bitcoin so ‘these are securities’ claims would be hard to make after spot #Bitcoin ETF approvals,” said Seyffart.
This is interesting… wonder if the SEC objects to these being classified 'commodities futures' vs 'securities futures'. These all forked from Bitcoin so "these are securities" claims would be hard to make after spot #Bitcoin ETF approvals. Might be why Coinbase chose them