The top Seychelles-based cryptocurrency exchange and derivatives trading platform BitMEX expands its offering further by introducing quanto futures contracts for three new digital currencies. These quanto futures contracts will be available in pairs with the Tether (USDT) stablecoin.
Three New Altcoin/USDT Quanto futures
The leading derivatives exchange BitMEX has officially announced in a blog post on October 23, 2020, that it is adding support for three new digital currencies. These include Binance Coin the native digital token of the world’s leading cryptocurrency exchange Binance, the Polkadot protocol’s native cryptocurrency DOT, and YFI, the native governance token of Yearn Finance.
Per the official blog post, the trading of these three new altcoin/USDT quanto futures contract will start on October 30, 2020, at 04:00 UTC.
BitMEX will also offer users leverage on the trading of these futures contracts as well. The maximum leverage for Binance Coin/Tether future contract is 33x. While on the other hand, users will be provided with a trading leverage of up to 25x on both Polkadot/Tether and Yearn Finance/Tether contracts.
Explaining these contracts further, the exchange said in the blog post:
“These contracts have a fixed Bitcoin multiplier regardless of the underlying Altcoin price. This allows traders to long or short each coin without needing to hold the specific coin or USDT. Traders post margin in XBT, and earn or lose XBT as the future’s price changes.”
Yearn Finance’s YFI is another governance token from the decentralized finance (DeFi) industry that has been listed by BitMEX as the exchange is aimed at adding more and more digital tokens from this space. Prior to this, the derivatives exchange launched quanto futures for Chainlink’s LINK. The company has also revealed in the post that it will be introducing more altcoin products by the end of this year.
At the beginning of this month, BitMEX faced a legal filing by the United States Commodity Futures Trading Commission (CFTC) who charged its three co-founders with running an illegal trading platform and violating its regulations. However, a few days after this filing, the derivatives exchange started operating its platform normally and it is continuously adding more and more products.