Bibox Perpetual Contract trading competition sparks traders enthusiasm

click here to see original post

Bitcoin [BTC] and other cryptocurrencies are considered a part of a financial revolution around the globe, and the current key players of this market are the retail investors and the traders. The ratio of retail investors, however, has seen a significant decrease over the past several months because of the bear market.

Despite the bear market, traders of the cryptocurrency market continue to remain intact despite the market condition. More so, these traders have also turned the bearish market into a profitable one, with several trading services. In order to make the market more beneficial, cryptocurrency exchange platforms are seen making an extra effort by providing traders with all the required trading equipment and also creating a marketplace that is best suitable and easy to use.

Currently, the most trending marketplace is the cryptocurrency derivatives marketplace and the most sought after product in this marketplace is Perpetual Contract, a contract similar to the traditional market’s Futures Contract. According to research, the majority of the transactions on derivatives trading platforms are Perpetual Contracts.

Basically, a perpetual contract is a derivatives product that is in between spot trading and future trading. With this contract, traders agree to buy or sell cryptocurrencies at a predetermined rate and also have access to huge leverage. The product is mainly prominent because of its features such as no expiry date and its similarities with the margin based-spot market.

The no expiry date feature sets this product apart as with the spot market, traders are obliged to an immediate settlement and with the futures market, traders are required to abide by the settlement deal in the future on a predetermined date. More so, the derivatives product ensures highly flexible risk management and trading experience.

The current key players in this marketplace, at present, are Bibox, BitMEX, Houbi, and OKEx. Bibox has already become a pioneer in this field, especially with the exchange’s newly launched contest dedicated towards the driving of adoption of the cryptocurrency market as a whole.

Within a short duration of its launch, Bibox drew the attention of the entire space because of its trading products and the services provided to the customers of the platform. This is evidenced by the fact that the daily volume of the recently launched platform accounts was around $300 million of the entire cryptocurrency space. The platform is also listed under the top five exchanges for several cryptocurrencies in the market.

More so, Bibox is spread across all the major countries that are contributing to the growth of the cryptocurrency market. It currently operates in many countries including, Estonia, the United States, China, Switzerland, Canada, South Korea, Singapore, Japan, Vietnam, etc. The platform has also listed the top 100 cryptocurrencies in the market and has over 200 trading pairs, ensuring that the market maintains healthy liquidity.

The exchange platform launched the derivatives products earlier this month and has already gained massive traction as the marketplace concentrates on two of the top of cryptocurrencies, Bitcoin [BTC] – the very first cryptocurrency, and Ethereum [ETH] – the second largest cryptocurrency and a leading smart contracts platform.

To add on, these contracts are priced in Tether [USDT], the largest stable coin by market cap. On this platform, traders have access to up to 50x leverage, which is much more than a regular spot market and futures market that has a leverage range between 3x to 20x.

Traders will also be able to adjust the margin and leverage for their open position owing to their preference at any given point in time. The key factor that sets Bibox apart from these exchanges is the fact that the contract does not impose funding rate, on both the sellers and the buyers.

Additionally, the platform has adopted a unique style to prevent market manipulation. The exchange is going to be pegged with the spot price instead of the cryptocurrency price of the platform. Bibox contract will be based on a weighted-average price of the top five exchanges, Binance, Bitfinex, OKEx, Huobi, and Bibox. Even the forced liquidation mechanism of the platform is going to be based on these spot markets, in order to prevent traders from incurring a loss due to malicious players on the exchange.

In the present scenario, the exchange platform has two on-going competitions focused on the Perpetual Contract market, both focusing on the overall market development and creation of a trade-friendly ecosystem. The first one is an early access competition, launched on February 18, 2019. This competition is set to last for around fourteen days, until March 4th, 2019.

Within a short space of time, the trading volume of BiBox perpetual contract has managed to surpass $100 million, indicating that the platform is moving closer to its mission that is to make the exchange more fair, transparent and neutral. Notably, this was achieved in a time frame of seven days.

The upside to this competition along with increased trading volume is that there will be no transaction fees charged for Perpetual Contract traders. Further, traders also have access to 30% off transaction fees as takers within one month after the official launch of the perpetual contract.

In total, the competition has a total of 1000 positions and will remain closed once its complete, wherein experience officers are rewarded with 10 USDT. Here, the term experience officers refer to those traders with a trading volume of around 25 BTC to 740 BTC in their perpetual contracts.

Towards the end of the competition, the exchange will take a snapshot of the trader’s portfolio, and rank them based on the profits and losses. The reward mechanism set for this competition is as follows,

  • 1st rank: 1 BTC
  • 2nd to 30th rank: 50 USDT for each trader

The second event is on the first session of Bibox Perpetual Contract, which is a team competition. The event went live earlier yesterday and is already a massive success. This event is set to last for around twenty days and the reward for this group task is much higher than the first event at 10 BTC, with an additional 500USDT for the winning team. The team that will be placed second and third will be rewarded with 3000 USDT and 2000 USDT respectively. Additionally, the ranking of this competition is going to be based on the profit rate of the perpetual contract.

Moreover, this event also aims at making the platform better as users are allowed to give feedback on their trading experience during the competition. Users are also allowed to give bug optimization suggestions to the developer team. And, in order to maintain this engagement and better improve the platform, Bibox will be providing users with 40% off on their transaction fees after the official launch of the derivatives product.

Share !