Binance Raises Max Margin, Leverage on Bitcoin Futures to 125X

Binance’s futures platform is increasing maximum leverage and margin on Bitcoin (BTC)/Tether (USDT) contracts to 125x, according to a press release shared with Cointelegraph on Oct. 18. Support for the contracts went live at 9:00 am UTC, with traders able to select 1x-125x leverage, with large positions adjusting to lower leverage allowed. As the press release notes: “At 125x leverage, a 100 USDT collateral deposit on Binance Futures will allow users to hold 12,500 USDT in BTC.” Balancing risk with efficiency According to BInance, highly leveraged trading is being introduced…

Binance Hikes Leverage to 125x for Launch of Bitcoin-Tether Futures

Binance’s futures exchange is raising leverage to 125x with the launch of bitcoin (BTC)/tether (USDT) contracts today. The cryptocurrency exchange first announced its futures platform in early July, at the time hinting it would allow 20x leverage. Now, futures traders can now choose leveraged positions between 1x and 125x, it said Friday. “We have seen an increase in institutional participation in trading … And they are flocking to Binance Futures,” said Binance CEO Changpeng “CZ” Zhao in a statement. “The market has been demanding a product with superior stability and performance; now…

Binance Futures Bucks ‘Dismal’ Volume Trend — Trades a Record $700M

Binance’s Bitcoin futures product is the only winner in a lackluster market this week as trading volume hits local lows.  Research highlights “very low” activity Analysis of various platforms’ trading volumes by exchange eToro’s senior market strategist Mati Greenspan on Oct. 15 revealed cryptocurrency markets had all but bottomed out in terms of activity. From a peak of around $4 billion per day several months ago, Bitcoin (BTC) now sees less than $200 million change hands, he said referencing data from research outlet Messari. Other players told a similar story,…

CME Says Bitcoin Futures Gaining Interest From Big Investors

CME Group, the Chicago-based exchange operator, said its bitcoin futures contracts grew in popularity last quarter, with the number of open contracts up 61 percent from a year earlier because of growing demand from institutional investors. Open interest, or the number of outstanding positions, rose to 4,629 contracts, up from 2,873 in the third quarter of 2018, CME said Monday in a statement. And despite the quarter’s 25 percent drop in bitcoin price, according to CoinDesk, the open interest in the CME’s contracts was down just 1 percent from second-quarter…

US CFTC Chairman Says Ether Is a Commodity, ETH Futures Coming Next

The chairman of the United States Commodity Futures Trading Commission (CFTC) believes Ether (ETH) is a commodity — and that ETH futures trading is becoming a reality. Heath Tarbert, who overtook J. Christopher Giancarlo in July, revealed his stance toward cryptocurrencies and forked coins at the All Markets Summit on Oct. 10, Yahoo Finance reports. First CFTC guidance on Ether While the CFTC has been very clear that Bitcoin is a commodity, this is reportedly the first time that the authority has provided a vision for Ether, the second-biggest cryptocurrency by market cap. Tarbert said:…

CoinFlex to Offer ‘Prediction Futures’ on Whether Libra Launches in 2020

A crypto derivatives exchange is launching physically-delivered futures contracts that will be settled based on whether Facebook’s Libra does or does not launch in 2020. According to Bloomberg’s report on Oct. 7, the new offering is slated for launch by the Seychelles-registered CoinFlex exchange via an “Initial Futures Opening” (IFO) on Oct. 24. The IFO concept: betting on tokens that don’t exist yet CoinFlex’s IFO will set the price of a futures contract at 30 cents — reflecting a roughly 30% likelihood that Libra will launch by December 2020. The…

Galaxy Digital and XBTO Execute First Block Trade of Bakkt Bitcoin Futures

Intercontinental Exchange (ICE), the governing body behind the New York Stock Exchange, has executed the first block trade of Bakkt Bitcoin (BTC) futures contracts. ICE revealed the development in an Oct. 4 press release, specifying that the first Bakkt Bitcoin Futures block trade was executed between digital assets merchant bank Galaxy Digital and crypto investment firm XBTO on Oct. 1. The deal was cleared by agricultural commodities merchant ED&F Man. Following the block trade execution, XBTO stated: “Last week, we bought the first Bakkt Bitcoin Daily Futures contract and took…

Galaxy Digital, XBTO Just Made the First Block Trade of Bakkt Bitcoin Futures

Cryptocurrency investment fund Galaxy Digital and over-the-counter (OTC) trading firm XBTO have conducted the first-ever block trade of Bakkt’s bitcoin futures contract. Intercontinental Exchange (ICE), Bakkt’s parent company, announced the trade Friday but did not disclose its size. A block trade is a large transaction that takes place off the open market in order to avoid moving the price too much. The trade, which took place Tuesday, comes on the heels of a disappointing launch last week for the much-hyped Bakkt, whose on-exchange volume in its first five trading days…

Trading Volume for Bakkt’s Bitcoin Futures Hit Just $5 Million in First Week

The Intercontinental Exchange’s highly anticipated bitcoin futures contract mustered just $5 million of total trading – and its daily product traded fewer than five contracts across its first week. According to the exchange’s Bakkt division, set up last year by the Atlanta-based company as a new marketplace for digital assets, some 623 monthly bitcoin futures contracts changed hands last week. Both the monthly and daily contracts debuted on Sept. 23. Each of Bakkt’s futures contracts represents one bitcoin, so the total trading volume works out to just over $5 million,…

Bitcoin Price ‘Manipulated’ Before Futures Settlement Dates: Research

New research this week has added to suspicions that futures settlement dates end up manipulating the Bitcoin (BTC) price. Bitcoin drops 75% of the time before futures expire According to findings from Arcane Research reported by Norwegian crypto news outlet Kryptografen on Sept. 24, CME Group’s Bitcoin futures settlement dates, in particular, appear to negatively influence BTC markets. Analyzing price behavior from January 2018 to August 2019, the company found that 75% of the times immediately before CME issued payouts, Bitcoin fell.  CME was one of the first operators to…