New Horizons for Cryptocurrency Trading
On November 14, OKEx, one of the leading cryptocurrency exchanges, announced the launch of its Bitcoin futures contracts, now margined with Tether (USDT). This initiative comes fresh on the heels of an initial announcement at the end of October, when OKEx unveiled plans for USDT-settled futures trading with jaw-dropping leverage options of up to 100x.
The Relevance of USDT-Margined Futures
Why should traders care about these new contracts? Well, offering a stablecoin-based derivatives contract provides a smoother sailing for traders. It simplifies risk calculations and market navigation—sort of like trading on a calm sea instead of a stormy ocean. According to OKEx CEO Jay Hao, the successful simulation of their USDT Futures Contract proved to be a hit among traders, indicating readiness for this leap forward.
How Does It Work?
The BTC/USDT contract is quoted and settled in USDT, meaning that every contract represents a face value of 0.0001 BTC. Traders can dive in, with available value ranges from 0.01 to 100 times leverage. This flexibility allows users to take both long and short positions, just like choosing between hot coffee or iced tea depending on your mood.
What’s on the Horizon?
Hold onto your hats; that’s not all! OKEx has exciting plans to expand its offerings beyond Bitcoin. The exchange has announced intentions to introduce USDT-margined futures contracts for a plethora of other crypto assets, including:
- EOS
- Ether (ETH)
- Litecoin (LTC)
- Bitcoin Cash (BCH)
- XRP
- Ethereum Classic (ETC)
- Tron (TRX)
- Bitcoin SV (BSV)
The Ripple Effect
Recent developments in cryptocurrency trading don’t stop at OKEx. Even Bakkt is getting in on the action, announcing the expansion of its Bitcoin futures trading on the Intercontinental Exchange to include a cash-settled option. This ripple effect showcases a strong movement toward more versatile trading options in the crypto market.
