How to trade crypto futures on Coinbase Advanced?

Accessing Coinbase Advanced Trading Interface

1. Log into your Coinbase account using verified credentials and two-factor authentication.

2. Navigate to the top navigation bar and select “Trade” → “Advanced” to enter the professional trading environment.

3. Ensure your account has completed Level 2 verification, which includes submitting government-issued ID and proof of address.

4. Confirm that your funding method is linked and sufficient USDC or USD balance is available for margin requirements.

5. Locate the “Futures” tab on the left sidebar—this section displays all active perpetual and quarterly contracts supported by Coinbase.

Selecting and Configuring a Futures Contract

1. Choose a contract pair such as BTC-USD or ETH-USD from the dropdown menu under the order book.

2. Review key contract details including leverage range (up to 20x), funding rate schedule, and mark price source.

3. Toggle between “Perpetual” and “Quarterly” contract types depending on expiration preference and settlement mechanics.

4. Set leverage manually using the slider or input field—leverage selection directly impacts liquidation thresholds and margin utilization.

5. Observe the position size calculator on the right panel to preview notional value, initial margin, and estimated liquidation price before placing an order.

Placing and Managing Futures Orders

1. Select order type: limit, market, stop-market, or take-profit-market from the order form dropdown.

2. Enter price and size fields accurately—size is denominated in USD for inverse contracts or in base asset units for linear contracts.

3. Click “Buy” or “Sell” to submit the order; executed positions appear instantly under the “Positions” tab.

4. Monitor open positions for real-time PnL, margin ratio, and estimated liquidation price displayed in green bold text.

5. Use the “Close Position” button or place an offsetting order to exit—partial closures are supported via size adjustment.

Risk Management Tools and Features

1. Enable auto-deleveraging protection by reviewing the exchange’s risk engine documentation and understanding priority tiers.

2. Set stop-loss and take-profit triggers directly within the order entry panel using price-based conditions.

3. View real-time funding payments under the “Funding History” section—positive values indicate receipt, negative values indicate payment.

4. Adjust position margin using the “Add Margin” or “Reduce Margin” functions to increase buffer against volatility spikes.

5. Access the “Liquidation Dashboard” to analyze historical liquidation clusters and current market-wide leverage concentration levels.

Frequently Asked Questions

Q: Is KYC mandatory to trade futures on Coinbase Advanced?A: Yes. Only users who have completed Level 2 identity verification may access futures trading functionality.

Q: Can I hold both long and short positions simultaneously on the same underlying asset?A: No. Coinbase Advanced enforces a net position model—only one directional exposure per symbol is permitted at any time.

Q: What happens during a forced liquidation event?A: The system automatically closes the position at the best available market price when the maintenance margin falls below required levels, and any remaining equity is forfeited after fees and losses.

Q: Are futures positions subject to overnight funding charges?A: Yes. Perpetual contracts accrue funding every eight hours based on the difference between the mark price and the index price, applied directly to the wallet balance.