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Announced Monday, December 3, 2018, OKEx will release a new derivative product on December 11, 2018 at 01:00 (GMT + 9). The new derivative product called "Perpetual Swap" will be a new initiative by OKEx to allow its users to speculate on the direction of cryptographic prices.
According to the statement, the launch of the perpetual exchange counts among the great initiative to make OKEX a cryptographic platform complete with all the seeds of financial products. Director of OKEx, an exchange of digital resources in Malta, Lennix Lai develops the launch as,
"This marked a key milestone for OKEx.The perpetual swap launch demonstrated our ongoing commitment to build a complete financial ecosystem on blockchain and crypto.With the new offer, investors and traders can select the products that best fit to their trading and hedging strategies, however, we would like to remind our users that, due to its highly indebted nature, the implementation of risk control strategies is just as crucial in trading. "
Perpetual swaps Refine the suites of derivatives of OKEX
Perpetual exchange works similarly to Bitcoin Futures. It is a virtual derivative that helps traders to speculate on the possible fluctuation of digital resource prices. As per reports, the regulation of perpetual exchange will take place daily and will have no expiry date. This daily solution will allow traders to withdraw their funds every day. In addition, OKEx facilitates these derivatives with a notional value of BTC equivalent to USD100 (equivalent to $ 100 in BTC). This ration will bind the daily settlement of swaps and decrease transaction fees. By not limiting the date, the perpetual exchange as the future contract will allow buyers to purchase goods such as the bitcoin to which the seller agrees to sell.
With the notional value set, users will have two strategies to participate in a company-defined swap;
Users can gain a long position to profit from the price increase of a digital asset, or a short position to profit from the decline in the price of a digital asset, with a leverage of up to 100x.
How do Crypto's perpetual swaps for OKEx differ?
These types of swaps were first introduced by BitMex, a cryptographic exchange to ensure that miners, traders and speculators bet on the price direction of virtual resources. OKEx claimed that its transaction fees are quite low and also offer a partial settlement system that will reduce the impact of the market during forced liquidation. In addition, traders can exploit the level of risk using the margin system at the levels of OKEx derivatives.
As per the posted announcement, OKEx has stated that its perpetual exchange includes the following characteristics;
• No deadline: positions can be held indefinitely;
• Negotiate strictly with the underlying benchmark index, unlike the futures contract that is normally traded at a different price for the spot market
• Leverage level: 1-100x are available
• Monitors the spot market price through a financing mechanism
OKEx still ranks second among the best cryptocurrency bursaries with a total market cap of $ 485,057,964 followed by Binance Exchange which stands at $ 513,504,807 as per coinmarketcap.
Do you think that OKEx will exceed Binance? Enhance the exchange n. 1 of cryptocurrency?
Summary
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Crypto Exchange, Okex launches a new perpetual swap, a derivative product
Description
Announced Monday, December 3, 2018, OKEx will release a new derivative product on December 11, 2018 at 01:00 (GMT + 9). The new derivative product called "Perpetual Swap" will be a new initiative to exchange digital resources in Malta to allow its users to speculate on the direction of cryptography prices.
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tabassum
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Coingape
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The content presented may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or the publication has no responsibility for personal financial loss.
