Coinbase Derivatives has launched 24/7 gold and silver futures contracts for traders in the US.
Frequently Asked Questions
Here is a list of FAQs about Coinbase Derivatives launching 247 gold and silver futures for US traders
BeginnerLevel Questions
1 What exactly is Coinbase Derivatives launching
Coinbase Derivatives is launching futures contracts for gold and silver that you can trade 24 hours a day 7 days a week
2 What are gold and silver futures
Think of them as agreements to buy or sell a specific amount of gold or silver at a set price on a future date Youre essentially betting on whether the price will go up or down without actually owning the metal
3 Why would I trade futures instead of just buying gold or silver coins
Futures let you trade on price movements without needing to store physical metal They also allow you to use leverage which can amplify your gainsor losses
4 Is this available to everyone in the US
Yes US traders can access these contracts through Coinbase Derivatives However youll need to meet certain eligibility requirements and live in a state where its offered
5 Do I need a lot of money to start trading these futures
Not necessarily Futures contracts are often micro or mini sized so you can start with a smaller account But you still need enough funds to cover margin requirements
AdvancedLevel Questions
6 What does 247 trading mean for gold and silver futures
Traditional commodity futures have set trading hours Coinbases version lets you trade anytime including weekends and holidays which is great for reacting to global newslike a sudden geopolitical event on a Sunday
7 How are these futures different from traditional CME gold or silver futures
Key differences Coinbases contracts are likely cashsettled have smaller contract sizes and operate on a continuous 247 schedule CME futures are larger have set hours and allow physical delivery
8 Can I use these futures to hedge against inflation or a stock market crash
Yes Gold and silver are often seen as safehaven assets If you own stocks buying a gold futures contract can offset losses if markets drop But remember futures are leveraged so they carry risk