Delta Exchange, the crypto derivatives platform, has just announced the launch of new put and call options contracts that settled in Tether (USDT) on its platform. The Singapore based firm called it ‘one of its kind’ in the industry, and claims that it is just the beginning. It also said that it’s one of just four crypto exchanges that supports full order books for puts and calls. In 2019, Delta Exchange was the first to launch Binance Coin Futures with up to 20x leverage.
This options contract will be offered for trading on popular cryptocurrencies such as Bitcoin (BTC), Ether (ETH). Others supported cryptocurrencies include Chainlink (LINK) and Binance Coin (BNB). This will be available with daily, weekly, and monthly maturities.
Options traders will get the right to purchase or sell the underlying cryptocurrency at a set price on a pre-determined date in the future. As experienced traders may already be familiar with, this is distinct from futures. An options contract holder is not required to purchase or sell the asset if they choose not to, which is pretty evident by the name of these contracts. A futures contract, on the other hand, involves the mandatory settlement of the contract at the time of expiry.
Crypto Derivatives on Delta Exchange
Delta Exchange currently offers a variety of derivatives instruments on its platform, including futures, perpetual swaps, interest rate swaps, and a variety of other options. Several of these derivatives are available with up to 100x leverage. Of course, traders are advised to tread with caution when working with such instruments. And at high leverages such as 100x.
Pankaj Balani, CEO of Delta Exchange, believes that the options market is an ‘integral part’ of the overall derivatives ecosystem. He also expects daily turnover on Delta Exchange to surpass future demand in about six to nine months. These new call and put options are available from 17th September 2020. They are expected to attract institutional and retail traders and give traders some welcome momentum.
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