Bitnomial is a Chicago-based cryptocurrency trading exchange. It has just launched futures for Tezos XTZ, the asset’s underlying token. This marks the first time that the asset will have a market in a US commodity futures exchange regulated by the Commodity Futures Trading Commission.
On Wednesday, announcementThe futures contract is live, allowing retail and institutional investors to get exposure to XTZ.XTZThe margin is calculated by using the price of the cryptocurrency, or US dollars.
Futures contracts allow traders to hedge risks or increase price exposure. They agree to purchase or sell an item at a certain price, on a specific date in the future.
The CFTC regulates futures markets, which are often viewed by many as a pre-requisite for broader participation of institutions in the US. This includes potential exchange traded funds (ETFs) that trade on a spot basis.
“CFTC-regulated futures market with six months of trading history checks a key box under the SEC’s generic listing standards for spot ETFs,” Bitnomial’s president Michael Dunn.
Dunn, who told Cointelegraph about the firm is “actively looking at new tokens” For potential US retail and institutional derivatives markets but refused to comment on specific assets.
Bitnomial previously offered futures contracts governed by US law that are tied to Cardano.ADAIt is a cryptocurrency that can be used to buy XRP.XRP” Aptos (APTThe platform is amongst the very few that offer regulated Crypto derivatives in addition to Bitcoin.BTCEtherETH( ) is a popular telecommunications provider in the US.
Bitnomial’s efforts to list derivatives linked to alternative currencies have not come without challenges. It is not easy to get regulatory approval for Bitnomial’s plan to list altcoin futures. August 2024The Securities and Exchange Commission (SEC), however, objected to the self-certification of XRP contracts with the CFTC. They argued that the contracts needed registration as a securities exchange.
Then, suing the SEC Bitnomial announced XRP futures for March 2020, citing the evolving policy of the crypto agency.
Related: CFTC issues no-action letter to Bitnomial, clearing way for event contracts
Tezos: A Brief History
Tezos’ mainnet launched in June 2018 Following a 2017 Initial Coin Offering that raised around $232,000,000 in Bitcoin and Ether. Tezos is not the world’s first proof of stake blockchain. However, it was the first layer-1 network that combined formal onchain Governance with proof-ofstake. Token holders were able to approve protocol updates, allowing the network evolve without a hard fork.
During the 2021–2022 non-fungible token boom, the blockchain carved out a niche as a lower-cost, energy-efficient alternative to Ethereum for minting and trading NFTs. As Ethereum gas fees surged, artists The following are some examples of how to get started: game publishers such as Ubisoft Tezos was chosen by many because of its lower transaction fees and proof-of stake design.
Tezos secured a number of high-profile sport sponsorships during this time. partnerships Red Bull Racing is the ultimate in motorsports. McLaren RacingLater, it was reported that he had been preparing an annual training kit sponsorship with Manchester United Valued at over $27 million annually
According to CoinGecko, Tezos native token XTZ will reach a high of $9.12 by October 2021. dataSince then, the price has fallen by 95%. It is currently trading at around $0.46.
Tezos has launched on January 25, 2019. Tallinn protocol upgradeAs part of its 20th upgrade to the onchain, this network has reduced block times at base layer from 10 seconds to 6 seconds.
Magazine: Bitcoin is ‘funny internet money’ during a crisis: Tezos co-founder
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Source: cointelegraph.com
