Cryptocurrency Exchange OKEx will launch a range of cryptocurrency futures contracts settled in the Stablecoin tether (USDT).
The exchange will support USDT pairs consisting of bitcoin (BTC), ether (ETH), bitcoin cash (BCH), EOS, XRP, bitcoin SV (BSV) and Tron (TRX) with a leverage of between 1 and 100x when the negotiation will start on November 6th. , according to a press release issued Tuesday.
The company says its futures will be easier for beginners to manage, as holders do not have to hedge margin risk as they would with reverse contracts.
"Most of the time, users are not willing to keep altcoins as a margin, and they also consider that reverse contracts are complicated to understand. We believe this linear contract would be an open door for many new traders, "said Lennix Lai, director of financial markets at OKEx.
A stable link (or supposed to be) linked to the US dollar, the tie has not yet been widely used as a basis for futures, although CoinFLEX has announced a similar product in January.
OKEx said it would continue to consider adding new stable trading products in the near future. "We would continue to research and add stable money-based derivatives to offer a simpler hedge to traders who normally account for their profits and losses in US dollars," added Lai.
In order to ensure fair market prices, OKEx Tether Futures will consist of an average of Huobi, Coinbase, Bittrex and Binance crypto-currency exchanges. The settlement of the contract will take place every day at 8:00 UTC.
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