Popular bitcoin and cryptocurrency exchange Binance today announced the launch of BTC/USD Quarterly Futures contracts with leverage up to 125x. The contracts are listed on Binance Futures, the company’s crypto-derivative exchange, and offer increased diversification.
BTC/USD contracts are settled in the denominated BTC tokens and will expire on the last Friday of the corresponding three-month period. The first batch of contracts is labeled “BTCUSD Quarterly 0925“, indicating their expiration date is set for September 25, 2020 (08:00:00 UTC).
Binance users can control their margin balance by either spreading it across all their open positions or setting individual limits for each position they own (cross or isolate margin modes). They can also choose to hold one direction (i.e. long or short) or both directions at the same time for hedging. These customizations provide users greater flexibility in how they trade.
The introduction of BTC/USD contracts brings the range of derivative products on Binance to four broad classes, allowing users to trade conveniently on a single platform and according to their trading preferences:
Quarterly Futures – Token margined, with quarterly expiration and settlement. Trade with up to 125x leverage
Perpetual Futures – USDT margined, with no expiration. Trade with up to 125x leverage.
Leveraged Tokens – Unique variable target leverage range of 1.5 – 3x.
Binance Options – Short duration American-style settlement. Unlimited liquidity.
“Since launching Binance Futures in September 2019, we worked hard to provide a stable, fast, and low-fee futures platform for our users. Today, we are pleased to announce our first quarterly settlement futures contracts, which complements our existing range of financial products. Delivery futures have a significant role in commodity trading and hedging, so we are ensuring we are ready as the crypto market matures and users adopt similar trading strategies,” said Changpeng Zhao (CZ), Founder and CEO of Binance.