Crypto exchange derivatives giant BitMEX announced the launch of a new product this week. ETHUSD Quanto Futures will go live with 50x leverage starting May 5. The futures contract is defined as a cross-currency, cash-settled futures contract which has an underlying denominated in one currency and is settled in another currency at a fixed exchange rate. For example, a futures contract on an England stock market index which is settled in US dollars.
BitMEX’s new product will speculate on the ETH price movement.
BitMEX’s new product, ETHUSD Quanto Futures, will speculate on the ETH price movement but without ever “touching either ETH or USD” while the profits earned from this contract would be denominated in BTC. The futures contract has a fixed BTC multiplier. Each futures contract has a size of 0.01mBTC per 1 USD (0.00019496 XBT) and will expire on June 26, 2020, and the contract price would be based on GDAX, Kraken, Bitstamp, and Gemini.
BitMEX is the first derivative company in the crypto space, and the launch of this product might be the reply to its competitors. Currently, Binance has the most 24-hour trading volume for Bitcoin Futures, and BitMEX is fourth in the list.
BitMEX operator donates $2.5 million to help fight the pandemic.
HDR Global Trading Limited, the operator of crypto derivatives exchange BitMEX, earlier announced to donate $2.5 million to help fight the pandemic. The Seychelles-based company is giving these funds to 4 different organizations that are helping fight the coronavirus pandemic. The four organizations that will receive the funds are Gates Philanthropy Partners, Nuclear Threat Initiative, OpenMined, and Our World in Data. Each of these four organizations would receive grants between $300,000 and $1,000,000. So far, over 2.7 million people have been diagnosed with COVID 19, and over 191,000 people have lost their lives around the world because of this virus. The United States is hit worst by coronavirus as over 50,000 people have died, and over 800,000 are infected with the virus.