Crypto Exchange CoinFLEX To Provide Cryptocurrency Futures Contracts From February

CoinFLEX- the Hong Kong-based crypto exchange announced that as of February 2019 it will provide crypto futures contracts to Asian investors so we are gladly reading more about it in the following crypto news.

The exchange was launched last year (2018) in February and the company has also announced to be separating from its parent company Coinfloor which is the oldest British Bitcoin exchange.

CoinFLEX will initiate futures contracts for Ethereum, Bitcoin, and Bitcoin Cash with a 20x leverage possibility.

The futures contracts have plenty of advantages giving the owners of the contract an option before expiration to be offered the asset as opposed to being paid in fiat currency. The other advantage that the exchange has to offer is a compensation mechanism that is built on transparency and security.

The CEO of CoinFLEX Mark Lamb said:

“Crypto derivatives could become an order of magnitude larger than spot markets and the main thing that’s holding back that growth is the lack of physical delivery. Volumes are reduced because of a problem of trust when it comes to cash-settled trades.”

He added that the daily trading volume on the market is pegged at $3 million but there is certainly room for more growth.

Other crypto exchanges such as Bakkt which is backed by Intercontinental Exchange and a parent company of NYSE announced to also launch its own physically delivered futures contracts but for investors in the United States. Bakkt has successfully raised about $180 million on New Year’s Eve from plenty of high profile investors and it is now even closer to launching its Bitcoin futures market in 2019.