Nasdaq-listed cryptocurrency exchange Coinbase has gained approval from the National Futures Association to sell cryptocurrency futures directly to U.S. consumers in a move that comes after two years of preparation and the acquisition of futures exchange FairX last year.

Global payments behemoth PayPal has announced it will temporarily pause cryptocurrency purchases in the United Kingdom until early 2024 citing stricter rules by the country’s financial regulator.

Ripple Labs is opposing the recent attempt by the U.S. Securities and Exchange Commission (SEC) to file an interlocutory appeal that pertains to a summary judgment handed down by U.S. District Court Judge Analisa Torres on July 13.

Top stories in the Crypto Roundup today:

• Coinbase Secures Approval to Offer Crypto Futures in the US
• PayPal to Suspend Crypto Purchases in the UK Until 2024
• Ripple Challenges SEC’s Appeal Bid in Crypto Case
• Stablecoin Market Cap Declines for 17th Consecutive Month

Coinbase Secures Approval to Offer Crypto Futures Trading in the US

Nasdaq-listed cryptocurrency exchange Coinbase has gained approval from the National Futures Association (NFA) to sell cryptocurrency futures directly to U.S. consumers in a move that comes after two years of preparation and the acquisition of futures exchange FairX last year.

Coinbase Financial Markets, a Coinbase subsidiary, has secured approval to operate a Futures Commission Merchant, with the offering set to launch within weeks. Coinbase currently allows investors to buy futures from third-parties, but the NFA approval means it will be able to offer them directly.

Cryptocurrency derivatives made up 78.2% of the total cryptocurrency trading volume on centralized exchanges last month, according to CCData. Derivatives allow traders to use leverage to buy them and are already offered by other exchanges in the US.

Coinbase already offers derivatives outside of the United States, launching in May the Coinbase International Exchange, which allows institutional investors outside of the US to trade perpetual futures.

PayPal to Suspend Crypto Purchases in the UK Until 2024

Global payments behemoth PayPal has announced it will temporarily pause cryptocurrency purchases in the United Kingdom until early 2024 citing stricter rules by the country’s financial regulator.

Starting October 1, PayPal’s British customers will find the option to buy new cryptocurrencies on their accounts disabled, in response to regulations from the Financial Conduct Authority (FCA) requiring crypto firms to “implement additional steps before customers can purchase crypto.”

Britain’s financial regulator, the FCA, is expected to introduce stricter rules for crypto on September 1, classifying them as “restricted mass market investments.”

While new crypto purchases will be disabled, customers who have already bought cryptocurrencies through PayPal will be able to hold onto their assets or sell them without restrictions on the platform.

Ripple Challenges SEC’s Appeal Bid in Crypto Case

Ripple Labs is opposing the recent attempt by the U.S. Securities and Exchange Commission (SEC) to file an interlocutory appeal that pertains to a summary judgment handed down by U.S. District Court Judge Analisa Torres on July 13.

In a recent letter to Judge Torres of the Southern District of New York, Ripple's legal team articulated their reservations, arguing that the SEC's inability to fulfill specific criteria of the Howey test, particularly concerning Ripple’s distribution activities, should see the court reject the SEC’s appeal motion.

For clarity, an interlocutory appeal is a legal recourse that seeks the review of a specific court ruling, even while the broader case is still under deliberation. Ripple's legal counsel contends that the optimal route for the SEC would be to seek an appeal post the issuance of a final judgment, ideally supported by a comprehensive case record.

In the letter, Ripple’s legal counsel noted the appeal should hinge on clear legal issues to be reviewed, and noted that merely challenging the accuracy of the court’s decision isn’t sufficient as the regulator must show that two courts are in clear conflict with each other over the subject.

Moreover, Ripple’s lawyers argued that an immediate appeal wouldn’t advance the lawsuit’s conclusion. Ripple’s chief legal officer, Stuart Alderoty, emphasized there’s no “extraordinary circumstance” to move away from the usual legal process in this case.

Stablecoin Market Cap Declines for 17th Consecutive Month

In August, the total market capitalization of the stablecoin sector experienced a 1.28% dip to $124 billion, marking the lowest point since August 2021, continuing a 17-month downward streak.

Both BUSD and TUSD saw significant declines of 9.35% and 9.15% to $3.37 billion and $2.75 billion respectively, likely over the launch of First Digital USD (FDUSD) on Binance.

Dig deeper into the stablecoin sector through CCData’s latest Stablecoins & CBDCs report.

State of the Crypto by Top Tier Exchange Volume

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