BitMEX – the cryptocurrency exchange is launching ETHUSD- Ether (ETH)-based quanto futures contract on its exchange platform. With this initiative BitMEX is aiming to open up the new crypto trading opportunities that can help users to take more leverage.
The announcement published on 24th April via official website confirms that the new pairing would provide up to 50x leverage starting from 5th May 2020 at 04:00 UTC.
“This new product will be the only one of its kind available in the market.”
Further, it has informed that the previous ETHUSDM20 is going to expire in 26th June 2020 at 1200 UTC.
Reportedly, BitMEX’s newfound solution to increase the crypto adoption is quite different with what is available in the crypto-trading marketplace and indicates a competing factor against Binance Futures.
Meaning, BitMEX ETHUSD quanto futures contract would provide a fixed Bitcoin Multiplier that would be unrelated to the USD Ethereum price. The new feature is going to allow traders to deal in long or short ETH/USD on the exchange rate- without retaining (holding) ETH/USD.
To save its bleeding image in the crypto derivate market, BitMEX is endeavouring to come up with new trading solutions which can prove beneficial for the traders.
The information reads:
“Traders post margin in XBT, and earn or lose Bitcoin as the ETH/USD rate changes.”
As per the information, the new ETHUSD BitMEX future contract combines with the old ETHUSD Quanto feature, which is a perpetual swap that has an expiry and settlement criteria like traditional futures. Meaning, BitMEX, it would also expire quarterly just like every BitMEX altcoin future.