BitMEX launched its Q2 2020 quarterly futures contract, increasing its offering for cryptocurrency traders. According to BitMEX, the announcement was made at 04.00 UTC on March 11, 2020. This listing will allow traders to enter into futures contracts which expire at end of second quarter 2025. It is a great way to hedge against future price movements or speculate.

Access Restrictions & Compliance

BitMEX, despite the new offerings it continues to enforce strict compliance of its Restricted jurisdiction Policy. Users in certain jurisdictions are not allowed to access the platform, including those located in the United States. BitMEX reserves its right to liquidate and close positions or accounts if it is found that users have violated these restrictions. These measures are part and parcel of BitMEX’s efforts to ensure that the trading environment is secure, while also complying with international regulations.

Market Implications

BitMEX's strategic decision to introduce quarterly futures contracts was made to meet the increasing demand for trading instruments within the cryptocurrency market. Futures contracts give traders the opportunity to speculate on future cryptocurrency prices, which can be a useful tool for managing risk and maximizing profits. This could attract institutional and retail traders looking for sophisticated trading opportunities.

Industry Context

The launch of Q2 2020 futures contracts coincides with the maturation of the cryptocurrency market, and an increase in interest from institutional investors. Futures contracts are in high demand as they offer a way of reducing risk and leveraging positions. The futures products of other major exchanges have also been expanded, which contributes to the growth and sophistication in the cryptocurrency derivatives markets.

Visit the BitMEX official announcement for more information.

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