Digital asset trading support Crypto Facilities is launch ethereum futures contracts. Announced Friday, the U.K. Startup claims that the new brands the very first time futures contract for ether – the cryptocurrency that powers the ethereum blockchain – will probably be traded on a regulated platform. Investors will be capable to take long or short positions, that will allow them broaden investment opportunities and manage risks more efficiently, in accordance with the firm. In a statement stating that the new offering, Crypto Facilities chief executive Timo Schlaefer noted that ether is the second most liquid cryptocurrency following bitcoin, with a daily trading volume in the surplus of billions of dollars” .
Schlaefer added: . We’re excited to be launching ETH futures. The ethereum network is the eminent blockchain for smart contracts, and we believe this new trading tool will attract more investors bring more liquidity to the market.” . The business will work with liquidity providers Akuna Capital and B2C2 to help back its contracts. Akuna’s head of electronic assets, Toby Allen, said in a statement that his company is looking forward to seeing this much needed product fill a gap in the market.” . The creation of a futures contract is another giant leap in the development of the crypto asset class, he added.
B2C2 creator Max Boonen likewise called the move a natural next step for ethereum’s token. The continuing evolution and commoditization we are seeing in ethereum will further increase liquidity in the market, enabling participants to swap assets easily and unlock the value. We anticipate supplying liquidity of this new product, he said. Stepping back, this isn’t the first touch of the startup with futures products. Crypto Facilities already offers bitcoin and XRP futures contracts, as previously mentioned by CoinDesk.
Furthermore, the firm provides CME Group with the CME CF Bitcoin Reference Rate, which the Chicago based exchange uses to provide its bitcoin futures contracts. Ethereum picture via Shutterstock. The leader in blockchain information, CoinDesk is a media outlet that strives for the greatest journalistic standards and complies with a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.