Crypto derivatives exchange – BitMEX – is stepping into the traditional financial space. This came in the form of the launching of foreign currencies tied to perpetual swap contracts.
On Friday, August 5th, 2022, BitMEX announced the FX perpetual swap contracts’ launch, also known as FX perps. This will allow users of the platform to trade over 20 foreign currencies supported contracts. The trade would be still allowed even at the time of these currencies’ after-market trading. This move of BitMEX came as their some of the significant moves toward the products related to non-crypto assets.
Meanwhile, it’s noteworthy that these efforts of the firm came after the appointment of new CEO Alexander Hoptner. Hoptner joined the firm after replacing former CEO and founder BitMEX – Arthur Hayes. The company indicated at the time of Hoptner joining as the CEO that they would explore new spaces. However, there were several unplanned and bad instances that took place that including layoffs in the firm and canceling a German bank acquisition.
Despite all the challenges and failures in other ventures, FX perps’ launch showcases the company’s strategy to give both their existing and new users a variety of crypto margin contracts. This includes products that would allow traders on the platform to access a wide range of currencies and commodities.
Daniel Egloff – BitMEX Quants Head – said that BitMEX FX perps as a transparent and pellucid exchange-traded contract. This contract allows FX traders on the platform to go both long and short as either a taker or a maker. A unique feature of rebate of 1 basis point fee offered by the company. For the company’s institutional users, FX perps is expected to serve a whole new way to form a whole new way for creating synthetic pairs of crypto to arbitrage, he added.
BitMEX is among one of the longest-running and largest crypto derivatives in the crypto space. Its overall valuation during July month accounts for more than 17 billion USD in its bitcoin futures volume.
Source: https://www.thecoinrepublic.com/2022/08/07/bitmex-launching-foreing-currencies-tied-swap-contracts/