CFTC has had a busy week - Impacts Coinbase Pro
The US Commodities Future Trading Commission (aka CFTC) has worked with Coinbase in the background and from that we get no more margin trading. That goes live today 25/11/2020. As of now the impact is to Coinbase Pro accounts. Are you impacted?
Let's recap - Coinbase started offering Margin Trading several years ago all is well until; it isn't . So again we have a case of a few spoiling things for the many. Wonder who got burned and ran crying to the top brass at the CFTC? Makes one wonder why they were utilizing margins in the first place.
Impact - once new rules are understood and adopted by a major player it has a ripple affect... others start to follow suit. I see this as a major blow to US Crypto advancements achieved this year. If so you better pay head to the warning and be ready to close out or move your positions. To where? Not sure.
Summary - this is a set back for US Crypto markets, does it wipe out all the progress made this year? Certainly not however, the big boys play with leverage to grow their positions and taking away their advantage will cause them not to want to play in this sandbox.
Perhaps they will find another way to garner massive gains in Crypto, not seen any yet.
Enjoy the Journey!
