One of the largest virtual currency exchanges in terms of trading volume has launched a new derivative product known as Perpetual Swap. The exchange based in Malta took the decision to release this product and be closer to round off its crypto-related financial product offering. The decision was recently released by the crypto exchange.
OKEx Launches New Perpetual Swap Product
OKEx released a peer-to-peer virtual derivative called Perpetual Swap Trading that was created by the company to allow traders to speculate with the direction of the price of virtual currencies. The service works in a similar way to futures contracts, but there are no expiry and settlement dates. In this way, users are able to withdraw their profits on a daily basis.
Riskier traders can also use a leverage level of 1:100 while using Perpetual Swaps in the platform. Each swap contract has a notional value of $100 in Bitcoin (BTC). It is possible for users to open a short or long position. Longs will be benefiting if there is an increase in the price of the digital asset and the same will happen with those short when the price decreases.
In this way, OKEx users have access to perpetual swap, futures contract and spot trading with margin and leverage. At the same time, customers at the trading platform have access to more than 450 trading pairs. Furthermore, the exchange had a trading volume of $502 million in the last 24 hours according to CoinMarketCap.
Lennix Lai, Financial Market Director of OKEx, commented about the new product launched by the platform:
“This marked a key milestone for OKEx. The launch of perpetual swap demonstrated our continuous commitment to building a complete financial ecosystem on blockchain and crypto. With the new offering, investors and traders can select the product which best fit their trading and hedging strategies.”
Lai commented that the product is highly risky and the platform recommends to implement risk control strategies that would be crucial at the time of trading with these products.