Binance the leading exchange across the globe for daily trading volume has recently inaugurated Bitcoin (BTC) options on its futures trading platform. The hints related to this launch was already made in the beginning of this month and it finally has announced it on April 13, 2020. For now, it is only limited to the exchange’s mobile application.
Binance offering U.S.-style Bitcoin options contracts
With option contracts, traders get the opportunity to buy either a right to buy which is called a call option or sell which is a put option on a given asset at a specified ‘strike price’. The exchange is offering Americans which is completely opposite to European, version of the derivative, allowing traders to exercise their rights – you will be able to settle the contract at the chosen strike price and you can do it any time, it could be before or on the expiry date itself.
If we talk about Binance’s BTC/Tether (USDT) options contracts, traders have to first transfer their USDT holdings from their wallet to their futures wallet and look for an expiry date, which varies from 10 minutes to one day.
It is also a message to traders as the exchange has indicated that a fixed value premium need to be paid in the beginning itself, citing that any profits on trades will be net. The exchange told that there will be no guarantee that your options purchase is going to processed at a profit when the premium has been deducted. If talking in total, most of option purchases are not going to be profitable and minority will take the lead with maximum profit. The exchange advised to use your own discretion.
To deal with all issues and troubles related to the Binance, you can always have conversation with the team of elite experts who are always there to assist you. To deal with all technical glitches, you can always call on Binance support phone number which is always active. You can always contact with the team anytime for amazing results.
Options contracts in the crypto space
It was previously reported that the Malta-based cryptocurrency exchange called OKEx has already introduced Bitcoin options trading for a selected group of traders in December 2019 which is ahead of its public launch this year.
The Chicago Mercantile Exchange Group talked about the plans to launch an options product for bitcoin futures back in September, which later on indicated that it was anticipating high demand in Asia in particular.
Being the leading exchange, Binance has popular coins for trading. This year has been fruitful to the company that it has witnessed many achievements and coming with new alternatives to attract audience. If you don’t know how to handle all these troubles and looking for guidance, you can always have conversation with the team of skilled experts who are there to assist you. You can always call on Binance support number which is always active and the team is ready to guide you at every step.