Bitcoin News

Coinbase Launches Its Very First Crypto Derivative Product 

The ruckus seems to settle for Coinbase after the allegation that they have launched  security products without SEC’s permission. Coinbase Derivative Exchange FairX seems unconcerned about Howey tests as FairX, Nano Bitcoin Futures is all set to roll.

What are Nano Bitcoin Futures? 

Nano BTC Futures are a $25 Day trading margin contracts with no fees. The commission free trait of the futures contract make it extremely investor friendly.

What Nano Bitcoin Futures Want To Achieve? 

Futures contracts have been known to provide maximum market exposure. Nonethelss, they seem to be highly inaccessible citing very high entry costs. With the adoption of crypto going mainstream and more wallet creation getting quickened in 2022, the BTC Nano Futures move will be uplifting in this bear market. 

Retail investors will be needing 1/100th of the investment amount in terms of the price of the asset to enjoy market upside. On top of this, in a highly regulated futures market in the US, it will give more opportunities to the retailers/ retail investors to further enjoy the market upside. 

However, retailers nonetheless need to be cautious about the downsides as well. Sometimes these futures can backfire when not regulated at large. In a typical regulated exchange, there’s a 2X to 5X leverage guaranteed. However, when it comes to crypto, we are looking at a 20x to 100X leverage as well. That part must be balanced for equilibrium. Else, derivatives might well look like a double edged sword for retail investors. 

Closing Thoughts 

Derivative market in crypto is mammoth considering the size of participation. A$3 Trillion in volume means more upside would come and stabilize the market for better participation. 

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.