Equos – a crypto exchange platform from Singapore run by Diginex – has reportedly disclosed details regarding the release of a new Bitcoin (BTC) futures, having no settlement dates.
Specifically, the initiative, which marks a significant move forward in the BTC derivatives market.
The project – dubbed “the BTC Perpetual Futures Contract” – is reportedly claimed to be “well suited to the current trading environment.” The perpetual contract is shifted to focus primarily on professional traders with numerous risk profiles, where prices and liquidity are provided by independent market makers.
The exchange reportedly revealed that its new project receives support from its liquidity reserves, which are partially financially supported via fees and trading revenue.
Bearing differences compared to common futures products, a perpetual futures contract comes with no fixed expiry or settlement date, which results in an unlimited amount of time the user can hold the position.
Bitcoin-based Perpetual contracts are reportedly provided by BitMEX – a top-tier crypto derivatives platform – at the moment.
Richard Byworth – Head of Diginex – reportedly disclosed that the new futures contract has a primary goal of establishing an enhanced level of functionality throughout the crypto derivatives market, a development he claimed will “facilitate wider institutional and professional trader adoption of crypto assets.”
“This is just the first in a product suite that will offer investors more dynamic hedging tools, fairer liquidation, a platform that is not trading against its users and reputational protection for investors seeking a KYC/AML compliant ecosystem.”