Binance Breaks Ground to Announce 20x Leverage Bitcoin Futures Trading
Binance will add leveraged futures trading to its cryptocurrency exchange platform within weeks. That’s according to a keynote speech delivered by CEO Changpeng Zhao at the Asia Blockchain Summit on Tuesday.
The new feature will allow users to open long and short positions on bitcoin’s price movements with up to 20x leverage.
The market for bitcoin derivatives and leveraged trading is clearly exploding. As CCN reported yesterday, crypto derivates platform BitMEX recorded $1 trillion trading volume in the last 365 days. Binance is hoping to muscle in on this demand for high-leverage trading.
.@cz_binance just announced that #Binance will offer futures contracts in his keynote at the @aba_summit! #ABS2019 #Taipei #Futures pic.twitter.com/RXlui8YY0V
— Binance (@binance) July 2, 2019
A game changer
In two short years, Binance has established itself as the largest cryptocurrency exchange by trading volume. By adding futures trading, Binance expands its dominance over rival exchanges. Users can not only get exposure to bitcoin, but also bet against its price movements, known as shorting.
By adding leveraged trading at 20x, users can also amplify their gains. It comes after the exchange recently revealed plans to enable margin trading.
The new features will add significant liquidity to the bitcoin trading ecosystem and draw yet more sophisticated traders. Changpeng Zhao, better known as CZ, said the futures trading platform will start testing in the coming weeks, initially on BTC.
