You Will Soon Be Able to Trade Dogecoin (DOGE) via US-Regulated Futures

This is simply a statement and should not be considered as investment advice. The author does not hold any positions in the stocks mentioned.

Meme coins experiencing skyrocketing profits are a telltale sign of a crypto bull market. Interestingly, this particular cycle appears determined to elevate the credibility of the entire crypto market to unprecedented heights. It is plausible that Dogecoin (DOGE), a classic meme coin, could soon become available for trading through CFTC-regulated futures contracts, opening up opportunities for qualified traders.

It should be noted that meme coins and tokens do not possess any inherent utility and instead rely on hype and the potential for future profits to fuel their bullish narrative. This may not be common knowledge for some individuals.

Coinbase Derivatives LLC quietly filed certifications with CFTC to list US regulated futures for Dogecoin, Litecoin and Bitcoin Cash.

They filed them on March 7 and surprisingly nobody seemed to notice.

Futures are set to start trading on April 1 if there are no objections from… pic.twitter.com/DYbWjuS6G2

— Summers (@SummersThings) March 20, 2024

This leads us to the main point. On March 07, Coinbase Derivatives LLC submitted the necessary certifications to the US Commodity Futures Trading Commission (CFTC) in order to gain approval for listing futures contracts for Dogecoin, Litecoin, and Bitcoin Cash.

Assuming the CFTC does not raise any objections, trading for these futures contracts is scheduled to commence on April 01.

One notable difference is that Dogecoin does not have any limits on its supply, unlike Litecoin or Bitcoin Cash. At the moment, there are approximately 140 billion Dogecoin tokens in circulation, and new tokens are continuously being added every minute through the 10,000 DOGE reward for mining a block.

The previously mentioned excerpt outlines the contract specifications for Coinbase’s Dogecoin futures. Each contract will represent 5,000 DOGE and will be settled on a monthly basis.

Despite the success of spot Bitcoin ETFs, analysts predicted that the entire cryptocurrency market would gain more credibility. However, it is important to remember that Dogecoin futures are not yet guaranteed. Although the CFTC has a more lenient approach towards cryptocurrencies compared to the strict stance of the SEC, they still have the power to object at the last minute.

.@JSeyff has great note out today explaining our 25% odds, i love this timeline comparison chart. Btc spot comments from SEC came 91 days bf final deadline. We curr 65 days away with eth etf deadline. Tick tock.. pic.twitter.com/Bkp4L0zoa8

— Eric Balchunas (@EricBalchunas) March 20, 2024

At present, experts are estimating a mere 25 percent chance of the SEC granting approval for spot Ethereum ETFs by May. According to a report by Fortune, the SEC is considering reclassifying Ethereum as a security, which could complicate current discussions. This news was leaked, causing fluctuations in Ethereum’s value.

Upon his return, Elon Musk previously held a significant amount of influence over Dogecoin, as a single post on X (previously known as Twitter) from the multi-billionaire could cause the token’s market cap to fluctuate by billions of dollars. However, if the speculated Dogecoin futures contracts do come to fruition, Musk’s impact on the meme token is predicted to diminish, as the focus shifts towards institutional adoption.