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Pseudonymous crypto expert and YouTuber ‘Altcoin Daily’ suggests that the upcoming launch of Coinbase Derivatives’ CFTC-regulated Shiba Inu’s futures contract could pave the way for a spot ETF.
Altcoin Daily issued the speculation in an X post yesterday, emphasizing the significance of the upcoming futures contracts.
Coinbase Derivatives to Launch Regulated $SHIB Futures Contract
Last week, Coinbase Derivatives requested permission from the U.S. CFTC to launch regulated futures contracts for Shiba Inu alongside four cryptocurrencies: Stellar ($XLM), Chainlink ($LINK), Polkadot ($DOT), and Avalanche ($AVAX).
The derivatives exchange disclosed plans to list the products under a self-certification model scheduled for July 15, 2024.
Futures Contract Could Pave the Way for Spot ETFs
Reacting, Altcoin Daily took to X to highlight the benefits of the offering for U.S. investors. According to the expert, regulated futures contracts offer investors enhanced transparency, regulatory oversight, a compliant trading environment, and risk management.
Interestingly, the expert noted that these products often lead to the potential launch of spot ETFs for the assets involved.
Coinbase to launch CFTC-regulated futures for 5 altcoins starting on July 15th.
— Chainlink $LINK
— Polkadot $DOT
— Stellar $XLM
— Avalanche $AVAX
— Shiba Inu $SHIBRegulated futures contracts offer investors
— enhanced transparency
— regulatory oversight
— risk… pic.twitter.com/jh2ITIdVUO— Altcoin Daily (@AltcoinDailyio) July 2, 2024
In a follow-up YouTube video, Altcoin Daily asserted that the SEC approved spot ETFs for Bitcoin (BTC) and Ethereum (ETH) because they initially had regulated futures contracts.
“The Bitcoin [and] Ethereum ETFs only got approved because they had futures contracts first,” Altcoin Daily remarked.
Bloomberg ETF analyst Eric Balchunas also expressed a similar sentiment last month in reaction to VanEck’s Solana spot ETF filing. According to Balchunas, his knee-jerk reaction to the filing was that the SEC would not approve a Solana ETF due to the absence of a futures contract for the asset.
Shiba Inu Community Optimistic About a Spot ETF for $SHIB
In the meantime, several Shiba Inu community members anticipate that a regulated $SHIB futures contract on Coinbase Derivatives could lead to a potential $SHIB spot ETF.
Since the SEC approved multiple Bitcoin spot ETFs in January, the community has been eyeing a similar offering for $SHIB. This prompted enthusiasts to petition Grayscale Investments to apply for the launch of a spot $SHIB ETF.
Although Grayscale has not responded to this request, the imminent launch of a regulated $SHIB futures contract could further solidify investors’ confidence in the possibility of a spot ETF for the token.