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Singapore Exchange to launch bitcoin and ether perpetual futures
Item 1 of 2 Representations of the Bitcoin cryptocurrency are seen in this picture illustration taken June 7, 2021. REUTERS/Edgar Su/Illustration
Set to launch on November 24, the trading will be available to accredited and institutional investors, SGX said in a statement.
Sign up here.
Perpetual futures are derivatives that allow traders to bet on asset prices without an expiry date and offer round-the-clock access and high leverage, making them a popular choice in fast-moving markets.
Investors and traders typically use derivatives to hedge risk, amplify returns or speculate on price movements without owning the underlying asset.
Crypto assets were on a tear for much of this year, buoyed by hopes of greater regulatory easing and clarity globally and renewed risk appetite.
Bitcoin reached a record high in October, but its rally has since stalled owing to dampened risk appetite as investors worry about the outlook for Federal Reserve rate cuts and a weakening U.S. economy.
Reporting by Rae Wee; Editing by Jamie Freed
Our Standards: The Thomson Reuters Trust Principles.
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