Are you looking to take your cryptocurrency investing game to the next level? Deribit, one of the leading cryptocurrency futures and options exchanges, has just launched a new product that is set to revolutionize crypto investing. Introducing Bitcoin Volatility Futures – a groundbreaking trading tool that allows investors to bet on future volatility in the price of Bitcoin. In this blog post, we’ll dive into what these futures are all about and how they can help you maximize profits while minimizing risk. So buckle up and get ready for an exciting ride!
What are Bitcoin Volatility Futures?
Bitcoin volatility futures are a type of financial derivative that allows investors to speculate on the future price of Bitcoin. The launch of Deribit’s Bitcoin Volatility Futures in December 2017 was a major development in the cryptocurrency markets, as it allowed investors to take positions on the future price movements of Bitcoin without having to own the underlying asset.
The key feature of Deribit’s Bitcoin Volatility Futures is that they are cash-settled, meaning that no actual Bitcoins need to be exchanged hands in order for investors to profit from their predictions. This makes them much more accessible than other types of derivatives, which often require complex custodial arrangements.
Another key advantage ofBitcoin Volatility Futures is that they are highly liquid, with a large number of contracts traded every day. This means that investors can easily exit their positions if they need to, without having to wait for an buyer to be found.
Overall, Deribit’s Bitcoin Volatility Futures offer a unique and convenient way for investors to speculate on the future price of Bitcoin, without having to deal with the complexities of owning the underlying asset.
How do they work?
When it comes to investing in Bitcoin, one of the biggest concerns is volatility. While the digital currency has seen some incredible highs in recent years, it can also experience sudden and dramatic drops in value. This makes it difficult for investors to know when to buy and sell, and can often result in them missing out on profit opportunities.
Deribit’s new Bitcoin Volatility Futures are designed to help with this by allowing investors to bet on which way the price of Bitcoin will move over a given period of time. If you think the price will go up, you buy a call option; if you think it will go down, you buy a put option. The beauty of this system is that it doesn’t matter whether Bitcoin’s price actually does rise or fall during the period covered by your contract – as long as your prediction is correct, you’ll make money.
This could be a game-changer for crypto investing, as it provides a way to hedge against volatility and make profits even when the market is going through a slump. It also means that investors don’t have to constantly worry about timing their trades perfectly – they can simply wait for their contract to expire and then collect their winnings.
If you’re interested in trying out Deribit’s new Volatility Futures, head over to their website now and take a look at their range of options. With contracts starting from just 1 day, there’s something for everyone.
What are the benefits of Bitcoin Volatility Futures?
Bitcoin volatility futures are a new type of financial instrument that allow investors to speculate on the future price movements of Bitcoin. Unlike traditional futures contracts, which are based on the underlying asset’s price at a specific point in time, Bitcoin volatility futures are based on the volatility of the underlying asset’s price.
This means that investors can profit from both rising and falling prices, as long as they correctly predict the amount of volatility in the market. These contracts are also much more flexible than traditional futures, as they can be traded for any length of time, from one day to one year.
Deribit’s new Bitcoin volatility futures will revolutionize crypto investing by giving investors a tool to hedge against price swings and speculate on future price movements with greater accuracy.
How will they revolutionize crypto investing?
Deribit, a Bitcoin and Ethereum options exchange, is launching volatility futures contracts for Bitcoin. The new contracts will allow investors to bet on whether the price of Bitcoin will go up or down in the future.
The launch of Deribit’s volatility futures contracts comes at a time when the cryptocurrency market is experiencing unprecedented levels of volatility. In the last month alone, the price of Bitcoin has fluctuated by over 20%. This kind of volatility makes it difficult for investors to predict what will happen next.
With Deribit’s new volatility futures, investors will be able to bet on whether they think the price of Bitcoin will go up or down in the future. This will allow them to profit from the market’s volatility, without having to actually own any cryptocurrency.
The launch of Deribit’s new contracts is a major development for the cryptocurrency markets. It could potentially lead to more institutional investors getting involved in crypto investing, as well as more innovation and development in this space.
Conclusion
In conclusion, Deribit’s new Bitcoin volatility futures are sure to revolutionize the crypto investing landscape. By allowing investors to hedge their positions against cryptocurrency price swings and offering them an easy way to speculate on future market movements, these products provide another tool for traders of all levels that they can use when making decisions. With the launch of this product, we may see more sophisticated strategies become available in the near future as well as a greater influx of institutional money into the space – something that could drastically change how we think about trading and investing in cryptocurrencies.
