Binance Futures Allows Users To Bet On Top 10 DeFi Tokens At Once

Binance Futures allows users to bet on the top 10 defi tokens at once for those who are looking to track the performance and get paid in USDT. In our Binance news today, we can see that the exchange unveiled a new Defi pegged index in a perpetual contract form.

Binance futures allows up to 50x leverage which is paid out in USDT. The exchange has unveiled an index that is comprised of ten several popular Defi tokens which allow users to gain exposure to the expanding sector via perpetual contracts. Among the novel index are the Band Protocol, Kava, Aave, Compound, Maker, Chainlink, Kyber, 0x, Swipe, and Synthetic network. Listed on the futures exchange, the contracts will be dominated and paid out in USD, as the VP of Binance futures Aaron Gong explained:

“Binance Futures has been at the forefront of developing new products for users, and we now offer nearly 50 futures pairs, the most in the market by quantity and variety. Response to our range of DeFi derivatives has been continuously positive and it is clear that there is growing demand. We are excited to offer the USDT DeFi Index that enables users to more easily access DeFi and further diversify how they trade.”

#Binance Futures Launches DEFI Composite Index Perpetual Contract With Up to 50x Leverage

Long or short the #DeFi market, all in one contract.

Trade #DEFIUSDT. Trade the trend.

🔊 Sound on.

— Binance (@binance) August 26, 2020

Most of the perpetual contracts track the underlying price performance of the asset. The users are not exposed directly to underlying Defi tokens but rather to the indices’ aggregate performance. One huge difference between the futures and perpetual contracts is that perpetual contracts have no expiry date. The Defi index and its average weighted price will be rebalanced every week via Coinmarektcap and the users will be able to see the changes in both market capitalization and volume as well as the market conditions.

Binance says this will help capture the shifting trend of the DeFi sector. While Binance futures already facilitates the trading of different Defi tokens, this marks the first DeFi centric index on the platform.  The decentralized finance space has gained even more strength since its inception and captured a total of more than $7 billion in investor value according to DeFiPulse with a huge rally of $6.3 billion that was accumulated in one year. Aave for example is up by 20,000% in the past year alone.