Singapore-based crypto exchange Bybit expands its range of services and products for institutional traders.
Bybit has announced the admission of customers to trading cryptocurrency options. The innovation will allow users to trade options and perpetual assets in US dollars. The crypto exchange community has long demanded that options be added to the company’s product line. Investors, the exchange says, want to trade these products to hedge risk and give traders the opportunity to diversify their portfolios.
Crypto options contracts will operate on the same principles as their traditional finance counterparts: the new products will allow exchange clients to speculate on the future price of an asset in US dollars and settle trades. According to the Bybit team, option contracts are rights, not obligations, so they will expire if the option is not exercised.
The options are aimed at experienced traders and market makers, but Bybit believes that it will be able to stimulate adoption of the new product among traditional financial traders. The expansion of the range of products and services denominated in digital currencies is suitable for investors who are used to working in the traditional financial system, the company believes.
It should be emphasized that the platform allows anyone who has passed the KYC procedure to trade options, however, the platform does not work with traders from the United States, Singapore, North Korea, Canada and mainland China.
Recall that at the end of March, the exchange announced that it was opening its main headquarters in Dubai. The company said the exchange has received approval in principle to conduct a full range of virtual asset business in the emirate.
