FTX partners with Paradigm for ‘one-click’ futures spread trading

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Par­a­digm has announced the launch of spreads trad­ing in part­ner­ship with cryp­to exchange FTX.

In a Fri­day blog post, Par­a­digm said under the FTX part­ner­ship users would be able to uti­lize “one-click” trad­ing with “no leg risk” for the spread between spot, per­pet­u­als and fixed matu­ri­ty futures on Bit­coin (BTC), Ether (ETH), Solana (SOL), Avalanche (AVAX), ApeCoin (APE), Doge­coin (DOGE), Chain­link (LINK) and Lite­coin (LTC). FTX will pro­vide “guar­an­teed atom­ic exe­cu­tion and clear­ing of both legs” for the trades.

Accord­ing to Par­a­digm CEO Anand Gomes, the arrange­ment was aimed at draw­ing in new cryp­to investors inter­est­ed in cash and car­ry trades — lever­ag­ing cryp­to spot pur­chas­es and futures instru­ments on FTX. Gomes added that the roll­out could lead to new prod­uct offer­ings “fur­ther down the road.”

Relat­ed: Red­dit part­ners with FTX to enable ETH gas fees for com­mu­ni­ty points

The firm said using atom­ic exe­cu­tion for both legs of the spreads trad­ing was “struc­tural­ly less risky” than those exe­cut­ed on a tra­di­tion­al exchange, allow­ing mar­ket mak­ers to “quote much tighter prices and in sig­nif­i­cant­ly larg­er sizes.” Accord­ing to Par­a­digm, the fees will be 50% less than that when exe­cut­ing two indi­vid­ual out­right trades.

In 2019, Par­a­digm part­nered with cryp­to deriv­a­tives exchange Derib­it to launch a block trad­ing solution. 



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