Ethereum-Based Synthetix Exchange Adds New Features Including Derivatives Trading
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New features are being added to the Ethereum-based synthetic platform, Synthetix. One of the new features included on the platform includes derivatives trading.
In a blog post posted early this week on the 10th of March, the company revealed plans for trading in binary options in the third quarter of 2020. For those that don’t know, binary options are a type of derivative financial product when a buyer can either receive a payout or lose their investment.
The company have said:
“Synthetic binary options will likely generate significant trading volume as they will be able to leverage the liquidity of the debt pool, allowing a trader to take a large position almost immediately without needing to find a counterparty.”
On top of this, the non-custodial crypto platform listed several improvements to the current products on the platform. This includes the launch of “launch of sX v2, new crypto Synths and crypto index tokens.”
For the second quarter of the year though, the company is getting ready to support new assets such as equities and exchange-traded funds. This new exchange is planning to offer leverage to trading on tokens to its user base.
They have said:
“Leveraged trading drives a significant amount of volume on crypto exchanges, and while synthetic futures will compete directly with centralised futures platforms, there is a lot of value in supporting tokenized leverage. We will initially test leveraged tokens using fiat currencies like the Euro and AUD. We expect to support 5x and 10x BTC tokens both long and short soon after we launch fiat leverage tokens. Following the rollout of BTC we will expand the offering to other large cap crypto tokens.”
In terms of value, the Ethereum price took a massive his today as it currently sits at $141.06 following a 28.16% loss over 24 hours.