Bitcoin Futures Volumes Outperform Spot Markets on Binance

2020-1-14 15:49

Cryptocurrency futures trading volumes have now outpaced spot markets on Binance, according to a report issued by the company. 

Users Turn to Futures on Binance

The report, titled “Leverage and Derivatives: Overview of Binance Futures in 2019,” details the success of the Binance Futures offering since it was launched in September last year. Futures now account for around 75% of the total Bitcoin (BTC) market volume traded on the exchange.

Binance was a relatively late entrant to the crypto-derivatives markets, at least compared to rival exchanges such as OKEx and Huobi, which started offering futures contracts from 2017 and 2018, respectively. By the time Binance entered, these two exchanges already accounted for 76 percent of all crypto-derivatives trading.

Nevertheless, in the four months since launching Binance futures, the trading giant has made significant headway in the crypto-derivatives space. The report claims that market share has grown from 2.5 percent in September to 13.7 percent in November.

However, the fact that derivatives trading now outperforms the spot markets by threefold is perhaps the most intriguing data presented in the report. 

Source: Binance

Charts show BTC futures dominate 75 percent of overall trading, while Ether (ETH) and Bitcoin Cash futures account for around 50 percent and 67 percent of their markets, respectively.

Not a Global Trend

In the broader cryptocurrency markets, trading volumes of crypto-derivatives have also increased rapidly over the past year or so,  but not yet to the extent of outperforming the spot markets. 

According to data aggregated by Skew, Jan. 8 was the highest-volume trading day for BTC futures in the past month, with trading volumes exceeding $22bn across all exchanges. On the same day in the spot markets, BTC trading volume didn’t fall below $28bn, according to CoinMarketCap.

So why is futures trading on Binance apparently proving more attractive than spot trading? 

One reason could be that Binance offers higher leverage than many other platforms. In October, Binance upped the ante against its rivals by introducing 125x leverage on its BTC contracts. At that time, BTC futures saw a steep increase from 50 percent to 70 percent of total volume traded.

A tweet shared by Skew earlier today appears to back this theory, indicating a steep drop in trading volumes on Bitflyer after the exchange reduced limits on leveraged trading in May last year. The move came as a result of pressure from Japan’s FSA.

Volumes are mostly a function of leverage – see what Bitflyer's did last year when the FSA reduced max leverage from 15x to 4x on the 28th of May pic.twitter.com/eGa9VCFiKx

— skew (@skewdotcom) January 13, 2020

British regulators have also expressed concerns about the risk created via high leveraged trading. This resulted in Kraken Futures imposing a 2x leverage limit on retail traders located in the U.K. 

The post Bitcoin Futures Volumes Outperform Spot Markets on Binance appeared first on Crypto Briefing.

Similar to Notcoin - Blum - Airdrops In 2024

origin »

Binance Coin (BNB) на Currencies.ru

$ 0 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 0.00 %
Cегодня L: $0 - H: $562.5
Капитализация $0 Rank 99999
Цена в час новости $ 22.85 (-100%)

futures binance report volumes spot markets overview

futures binance → Результатов: 126


Фото:

Торговая платформа Binance Futures запустила квартальные фьючерсы BTCUSD с плечом до 125x

Криптодеривативная платформа Binance Futures запустила квартальные фьючерсные контракты BTCUSD с плечом до 125x. Об этом сообщается в официальном блоге торговой площадки. До 11:00 (МСК) 10 июля на Binance Futures действуют специальные условия торговли квартальными фьючерсами.

2020-6-18 13:25


Фото:

Binance Futures Overtakes BitMEX Perpetual Futures Trading Volume

Binance Futures, the cryptocurrency futures contracts platform from the stables of the innovative Binance crypto exchange, has continued to gain traction since its launch in July 2019, thanks to its plethora of features including network stability, futures insurance funds and others which has given it a significant edge over competitors like BitMEX.

2020-3-17 16:00


Фото:

Monero (XMR/USDT) Perpetual Contracts Arrive on Binance Futures

Cryptocurrency exchange Binance’s futures trading platform – Binance Futures – on February 2, 2020, announced the launch of XMR/USDT Perpetual Contracts with leverage up to 75x. Monero (XMR) Futures Arrive on Binance Futures On February 2, 2020, Malta-based cryptocurrency exchange’s futures trading arm – Binance Futures – announced that it will launch XMR/USDT Perpetual ContractsRead MoreRead More.

2020-2-3 10:00


Binance Futures Maxes Leverage Bar Out To 125X

Binance has just upped the ante as the futures trading platform raises the bar with a new 125X leverage option on Bitcoin futures contracts. If you seek to profit from falling Bitcoin prices, or you simply find the current levels of volatility to not be stimulating enough, the Binance futures trading platform is available for […] The post Binance Futures Maxes Leverage Bar Out To 125X appeared first on Crypto Briefing.

2019-10-18 12:50


Атака на Binance Futures оказалась непреднамеренной ошибкой клиента

В понедельник, 16 сентября, глава криптовалютной биржи Binance Чанпэн Чжао сообщил об атаке на платформу для торговли биткоин-фьючерсами. Затем он признал тревогу ложной. A market maker from a smaller futures exchange tried to attack @binance futures platform.

2019-9-16 14:57


Фото:

Bitcoin Set For Massive Growth as New Futures Platforms Enter the Market

Bitcoin figures are eyeing the potential for a massive institutional investment boost in Q3, as Binance, ErisX and Bakkt get ready to launch their own bitcoin derivative platforms.   Binance, ErisX To Offer Bitcoin Futures As BTC comes off its record-breaking trading volumes and the price settles below $10,000, derivatives clearing house ErisX and cryptocurrency exchange Binance have both announced plans for futures trading.

2019-7-2 13:15


Binance запустит фьючерсные контракты на биткоин

Биржа Binance намерена запустить собственную фьючерсную платформу Binance Futures в ближайшие несколько месяцев, сообщил CEO компании Чанпен Чжао в ходе стартовавшего в Тайбэе Asia Blockchain Summit.

2019-7-2 10:19


Фото:

Crypto Tidbits: Bakkt’s Bitcoin Futures Near, Facebook’s Libra Backed by Uber, Binance to Block US Clients

Another week, another round of Crypto Tidbits. It would be fair to say that the past seven days for Bitcoin (BTC) and its ilk have been rather spectacular. Aside from mostly bullish price action, which brought the cryptocurrency to $8,650 for the first time in weeks, instrumental industry developments were numerous.

2019-6-15 21:00


DRIVE Markets ICO

Short description: DRIVE Markets, is an institutional crypto and fiat currency exchange, offering high frequency futures and spot trading for Bitcoin, Litecoin, Bitcoin Cash, Ripple and Ethereum. Main Content: Overview DRIVE Markets, is an institutional crypto and fiat currency exchange, offering high frequency futures and spot trading for Bitcoin, Litecoin, Bitcoin Cash, Ripple and Ethereum.

2019-3-31 12:40


Exchanges Roundup: Ledgerx Readies ETH Futures, Coinbase Partners With Caspian

In recent news pertaining to cryptocurrency exchanges, anonymous sources have stated that Ledgerx is preparing to launch ETH futures trading, Coinbase has announced a partnership with Caspian intended to target institutional investors, and the chief executive officer of Binance has shared his opinions regarding “trans-fee mining” and decentralized exchanges.

2018-9-29 12:40