Bitfinex CTO Shares Derivatives Trading, System Details, Will Open with the LEO Transparency Dashboard


Recently, some update was given regarding Bitfinex’s upcoming derivatives trading launch by their CTO Paolo Ardoino via twitter. This came via a June 24, 2019 tweet in which he hinted at the upcoming derivative trading maximum leverage. The tweet consisted of two emojis along with a picture of which is believed to be their maximum leverage.

It was simple by sparked conversation among twitter users and when asked whether the leverage would be isolated, he revealed that it would be isolated in the beginning and that it is better for risk management. Also, according to him, instruments with high leverage will be used separately from the main margin limited to 3.3x.

“We have quite a steep margin requirement enforcement, with position increases. I'm proud of the result and the protections we have. Of course we'll have to learn also from experience,”

he said.

Moving On

Bitfinex is certainly busy these days as they recently announced a LEO toke burn initiative which will see its parent company buy up all the LEO tokens on the market at current market price.

“We are doing this to remove the possibility of uncertainty from LEO holders, subsequently allowing our community to track iFinex revenues, as well as LEO token burn quantities, in an open manner,”

the announcement said.

Bitfinex also seems to be deliberately making headway following it’s event scandal involving Tether and an investigation from the New York Attorney General's Office in which it was revealed that Bitfinex had colluded with Tether to cover up millions of dollars in losses by giving them access to Tethers reserves. This investigation also confirmed suspicions that Tether did not back up 100 Percent of their tokens as they had previously claimed.

Since the scandal, both firms have made an effort to move on with their business and the derivative trading launch is a part of those efforts.

In the case of Tether, it has been argued that because they are one of the biggest stablecoins on the market, they will not easily be displaced even by a scandal such as this.

As for Bitfinex, Ethfinex Trustless, a crypto exchange owned by them, has announced that they will be launching and over the counter service for its customers.

“Customers can trade any ERC20 token, and even specify custom Ethereum addresses for tokens which are not currently listed on any exchanges,”

the announcement said, noting that this new system does not have a centralized order book or matching engine and makes use of Blockchain to initiate an OTC transaction as an atomic swap which removes the need for escrow.

And now, with the derivatives trading being added, Bitfinex users will have even more services to choose from and from the looks of things, the Bitfinex core audience is still very much loyal to the company in spite of their recent issues.

Hopefully, like their CTO said, their projections prove to be correct and this new derivatives trading service proves to be a success.

Get Daily Headlines

Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

What to Know More?

Join Our Telegram Group to Receive Live Updates on The Latest Blockchain & Crypto News From Your Favorite Projects

Join Our Telegram

Stay Up to Date!

Join us on Twitter to Get The Latest Trading Signals, Blockchain News, and Daily Communication with Crypto Users!

Join Our Twitter

Add comment

E-mail is already registered on the site. Please use the Login form or enter another.

You entered an incorrect username or password

Sorry, you must be logged in to post a comment.
Bitcoin Exchange Guide