Michael Gan, founder and CEO of the KuCoin crypto exchange, said that over the next few weeks, the KuMEX platform will provide its customers with access to monthly BTC futures contracts.
Gan announced this news during his speech at the Blockchain Life 2019 forum in Moscow. Recall that the KuMEX futures platform on which the new instrument will be presented was launched in the summer. Currently, the platform supports XBTUSDM perpetual BTC-contracts with a leverage of up to x20.
#KuMEX is going to launch the Bitcoin Monthly Contracts product in a few weeks.
Read more about this news 👇👇👇 https://t.co/yQZnIguH4g
KuMEX (@KuMEX_Official) October 17, 2019
KuCoin believes that the reason for the relatively small distribution of crypto derivatives lies in the fact that exchanges place too high demands on customers, in particular the minimum size of the contract. For example, KuCoin set XBTUSDM to a minimum of $ 1.
It is noteworthy that in order to manage risks, the company has formed an insurance fund and ADL service, which guarantee that when a position is closed, the size of the client’s damage will not exceed the margin. In turn, the ADL service will automatically reduce the leverage of one of the parties to the transaction if the funds from the insurance fund are insufficient to cover losses.