Huobi announces beta launch of cryptocurrency derivatives trading platform

Huobi Global, the operator of the fourth largest cryptocurrency exchange by the same name, has announced the beta launch of its cryptocurrency derivatives trading platform.

In an online post, Huobi said:

“Users can open access permission online and start to trade. We try our best to provide a highly-secure, reliable and efficient digital asset derivative trading platform to you.”

Huobi DM will allow users to earn profit from the rising/falling of digital currencies prices by going long or selling short based on their own judgment. The platform offers weekly, bi-weekly and quarterly contracts.

“The Huobi DM Contract adopts spread delivery. When the contract expires, all open positions will be closed at the index-based last-hour arithmetic average price, instead of physical delivery,” Huobi said.

“BTC Contract is the first launched kind of contract at Huobi DM. It is accounted in $, with corresponding digital currency (BTC) as margin, and users’ profit and loss settlement is also conducted in corresponding digital currency( BTC).”

According to the details, each contract represents a certain amount of digital currency. The face value of a BTC contract is $100 and for other contract varieties, unless stated, it is $10. Huobi DM offers a leverage of 1x, 5x, 10x, and 20x.