Bitfinex launches equity derivatives – Expands beyond crypto trading

Bitfinex expands beyond the digital asset space. Launches new perpetual contracts (derivative product) based on equity index – STOXX Europe 50 and DAX (Germany 50). This is the first time a crypto exchange is launching an equity product.

According to the announcement, to make the trading experience seamless and effective, Bitfinex will offer 100X leverage on the new perpetual contracts and will be settled exclusively using the stable coin, Tether (USDT). It will give crypto traders exposure to traditional stock markets in a single platform.

About the index:

• The Europe 50 index covers 50 stocks from 18 European countries, covering almost 50% of the free-float market capitalization of the European stock market. 
• The DAX, also known as the Deutscher Aktien Index is a stock index that represents 30 of the largest and most liquid German companies that trade on the Frankfurt Exchange.

Price feed:

Similar to crypto-assets, trading of these perpetual contracts will be 24X7. During market opening hours, Bitfinex’s exchange will reference real-time prices from the stock market. To continue trading of contracts aftermarket closing hours, Bitfinex will apply a hard upside and downside limit on market prices of 5% from the last reported price of Bitfinex’s perpetual contract each day until reporting from the market resumes.

The offering is available in few jurisdictions and only to KYC verified users.  

Risk disclaimer:
Market prices for Derivative Products can be volatile and highly unpredictable. You should not engage in trading in Derivative Products unless you understand the Derivative Product and its risks.