A futures contract is an agreement to future purchase or sells an asset at an established price. The futures contracts are made in a pattern, normally made in a exchange. A part agrees in buying a determined quantity of merchandise or real estate values and receives a determined date; the selling part of the contract agrees in proving it. The financial agents that can make this happen, are speculators or investors.
These contracts allow the “players” assure a punctual price and protect themselves against sudden price variations in the future (higher or lower). Not all in the market of futures want to exchange a product in the long term. The investors and speculators that make these exchanges are always looking to profit with the price changes in the own contract. Having in the market these people buying and selling every day, the market remains active and relatively liquid for these contracts.
It was announced that Binance is planning to launch a futures trading platform. This negotiation will support with priority the BTC / USDT contracts with a 20 times leverages. The news was announced by Binance´s CEO, Changpeng Zhao, during his speech in the Asia Blockchain Summit event, in Taipei, on July 2nd.
There is no launching date yet for the new trading platform “Binance Futures”, it is only known that there is a simulation platform being programmed. This system has the objective of supporting commercial contracts, short or long to multiple cryptocurrencies in the market.
Binance will be the first cryptography trading in history to get into the four kinds of exchanges: derivatives, regulated spot, not regulated spot, and decentralized exchange.
Now, the Bitcoin exchange has the authority to list “Futures contracts of digital assets”. The platform will be launched at the end of the year. This news in future tradings may bring great interest to the cryptos universe and leverage the long term negotiations.