OKEx Announces Growth Plans and Future Projections at the NextGen Conference
OKEx, one of the world’s largest cryptocurrency trading firms recently outlined its plans for growth as well as its projections for an even brighter future. Currently the world’s biggest crypto platform by trading volume, OKEx announced these plans at its NextGen Conference, held in Seoul, South Korea.
The event saw some of its executives making presentations as well as granting interviews to the press. Chief among their goals is Mr Jay Hao’s declaration that their goal is to become the world’s most trustworthy cryptocurrency exchange platform.
Are they on track for that goal? Looks like it. The platform is still the only crypto based exchange platform that offers spot and derivative trading.
It’s definitely no stranger to innovative technologies as seen in their latest launch of a p2p virtual derivative without any expiry date, called Perpetual Swap.
Even more, interviews granted by some of their executives revealed the company’s plans to beat other platforms on futures trading and so much more.
In spite of all their talk about a bright and grand future, OKEx has gotten some negative press lately for their premature settlement of Bitcoin cash futures that were on their platform. Andy Cheung, OKEx’s Head of Operations, addressed these issues and highlights why they had to do it. According to him,
“We believe that because of the hash war with Bitcoin ABC and SV…”[…] “Honestly, we’re actually afraid of people when they do a hash war. It inflates the index price and also the market, so that’s why we decided to settle early and that was the reason behind it.”
“And I would say that after looking at the customer feedback, over 90 percent of customers were thankful to us for doing that because if we didn’t do that the prices went even further down and people would actually have had a much bigger risk than if we hadn’t done it.”
Interestingly, it appears that in spite of this unpopular move, traders haven’t abandoned the platform or even made any efforts to. When asked about traders leaving, Cheung said:
“No, not at all.”[…] “No. Not at all. Honestly, there was a little bit of worry at first but after a few days, after we looked at the situation, we didn’t see any impact.”
He goes on to state that the company is particularly competing with Binance, as they are their biggest competitor, with an intimidating retail side. Their Perpetual Swap launch is also targeted at upending BitMEX’s dominance of that product in the crypto trading market.
Cheung also states that part of the company’s 2019 goal is to actively expand and get into the African market, starting with South Africa and eventually expanding to other countries there.
Another executive that had a lot to say about the company’s future direction is OKEx’s Financial Market Director, Mr Lennix Lai who announced Perpetual Swap at the conference.
He believes the company’s introduction of Perpetual Swap will help it attract more professional traders and institutional investors who prefer high risk, big exposure trades.
So, retail traders may not really benefit from this new product because of its relatively steep entry barrier, capital requirements, and risk profile. Unfortunately, this new product won’t be available to professional traders from the US and Hong Kong for now.
Lai also talks about how the company is positioning itself as a more transparent operation in Malta, as well as target the unbanked all over the world through financial inclusion products. He also says the company plans on going the custodian route as it’s the future of blockchain and crypto. In Lai’s words,
“Many players are starting to do that and evaluate the custodian risk. It’s going to happen, not just on a regulatory side, but because we also want that, our clients want that, it’s just a matter of time.”