Since its launch in September 2019, Malta-based exchange’s futures trading platform – Binance Futures – has added a slew of digital asset-based contract options that allow crypto traders to trade big with leverage as high as 125x.
As reported by AZCoin News on January 30, Binance Futures had launched ADA/USDT perpetual contracts allowing Cardano’s altcoin holders to trade on high leverage on their holdings.
Binance Futures exchange has announced today that they will soon be offering traders access to up to 75x leverage on popular cryptocurrency Monero (XMR).
An announcement by Binance said:
Binance Futures will launch XMR/USDT perpetual contract and trading opens on 2020/02/03 08:00 AM (UTC). Users will be able to select between 1-75x leverage.
#Binance Futures Will Launch @monero $XMR/USDT Perpetual Contract With Up to 75x Leveragehttps://t.co/8xy8L0bq8W pic.twitter.com/3E9sKOi09e
— Binance (@binance) February 2, 2020
Here are some of the main specifications for the contract:
- Base Asset: XMR
- Quote Asset: USDT
- Settlement Asset: USDT
- Contract Unit: 1 XMR
- Tick Size: 0.00001 XMR
- Minimum Contract Quantity: 1
- Maximum Contract Quantity: 10,000,000
- Base Initial Margin Rate: 1.3%
- Base Maintenance Margin Rate: 0.65%
- Liquidation Fee: 0.5%
Binance exchange has started to take a precautionary measure in order to ensure that there would no market manipulation post the launch of the Futures product. The platform would be implementing a “pricing limit of ±1% on the mark price” within the first 15 minutes of post-trading. This move may have been a result of the exchange being drawn to the drastic price rise of certain cryptos, after announcing support for them on its platform.
The XMR futures contracts will join a host of other derivatives for different underlying cryptocurrencies at Binance. The exchange now offers futures contracts for Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), XRP, EOS, Litecoin (LTC), TRON (TRX), Ethereum Classic (ETC), Stellar (XLM) and Cardano (ADA). All are traded against Tether (USDT).
The addition of margin trading capabilities to smaller altcoins tends to cause them to have heightened volatility, which may suggest that XMR will soon see a massive extension of the volatility it has incurred over the past several weeks and months.
Read more:
- How To Buy And Sell Bitcoin In Malaysia?
- The 0% Bitcoin Trading Fee Campaign On BitFlyer Has Started