All the things you wanted to know about Bitcoin and the other cryptocurrencies

The cryptocurrency market is maturing

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On October 9, CryptoCompare published a report based on September statistics, which states a 79.4% increase in the turnover of option contracts traded on the CME, the numbers are 4,872 contracts in September against 2,715 in August.

Options are gaining popularity among cryptocurrency investors, and futures have already proven themselves as a good speculation tool due to the ability to trade with partial collateral.

        The development of derivatives is an important indicator showing the formation and development of the financial market, and we are now observing the formation of the cryptocurrency derivatives market. Same should be expected in the DeFi sector, despite the fact that centralized cryptocurrency exchanges are pioneers in this area. One of the reasons that holds back the emergence of options to the DeFi sector is the difficulty of implementing a mechanism for guaranteed payment without blocking the full asset value by the seller in case of trading settlement contracts.

       One of the projects that is preparing for launch is the DYMMAX protocol, which introduces an innovative model for determining a premium based on a shared money pool that includes liquidity providers participation. Which is very interesting for options traders who can safely trade with guaranteed payments in any market scenario, as well as for liquidity providers who can invest money in liquidity pools for each contract without betting on a certain price movement of the underlying asset.

One Comment

  • Avatar Thomas Killus says:

    So this means BTC use in the past month decrease a lot in contrast with previous months, I’d like to know why that is? I always thought BTC is meant for holding in long term (if you’re into making profit that way) so this behavior is not really surprising you should ignore it in that case. On the other hand is going to be even more interesting to see if this drop affect other currencies such as ETH. does BTC has so much power to influence all markets at once?

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