Published
3 years ago on
July 13, 2020
Table of Contents
- Poloniex is grabbing a piece of the crypto derivatives market following the beta launch of Poloniex Futures.
- Users are invited to trade bitcoin futures with 100x leverage, with existing Poloniex account-holders able to start trading immediately.
Poloniex is grabbing a piece of the crypto derivatives market following the beta launch of Poloniex Futures. Users are invited to trade bitcoin futures with 100x leverage, with existing Poloniex account-holders able to start trading immediately.
The beta launch of Poloniex Futures means that traders can experiment with 10,000 USDJ worth of demo currency, to see how the new platform stacks up against the likes of Huobi DM, BitMEX, Binance, Bitget and Bybit.
Poloniex isn’t wasting any time in eliding the differences between its own platform and its competitors’, offering traders the highest maker rebates and lowest taker fees of any futures exchange right out the gate. The standard fee schedule will be -0.026% for the maker and 0.075% for the taker.
The Perfect Time to Launch a Futures Exchange
According to Tokeninsights, derivatives trading volume increased by 314% from the 2019 four quarters’ average, with a daily high of $62.5 billion. More and more traders are utilizing the power of leverage to multiply their profits and enact advanced trading strategies, pushing the volume of derivatives past the $2 trillion market in the first three months of 2020 alone.
Founded in 2014, Poloniex is one of the best-known and longest running platforms in the crypto space. It’s keen to get futures traders up and running right away, which is why existing account-holders won’t need to sign up to Poloniex Futures anew. Users can transfer seamlessly from their existing wallets into their new futures wallet, and view all trading activity from one dashboard.
Although Poloniex supports over 100 spot trading pairs and 25+ margin trading pairs, only one perpetual contract is being offered for the time being: bitcoin with USDT as collateral. However, the high leverage, low fees and risk-free trial period might be enough to lure some traders away from other platforms, at least to determine whether it is worthwhile permanently jumping ship. Demo funds will be fully cleared out from accounts before the beta period ends.
From LaunchBase to Poloniex Futures
Poloniex’s new futures arm follows closely on the heels of the exchange’s IEO platform LaunchBase, which kicked off with the sale of TRON-based stablecoin lending platform JUST, and its associated JST token, back in May.
The crypto exchange was acquired by an investment group that included TRON boss Justin Sun last year, having spun out from its previous owner Circle. As part of the deal, Poloniex assumed control of TRXMarket, rebranding it as a decentralized exchange under the name Poloni DEX.
The launch of Poloniex Futures builds out the platform’s services, making it a one-stop shop akin to Binance, complete with DEX, IEO platform, lending portal and comprehensive spot and futures trading exchanges.
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