Malta-based cryptocurrency exchange Binance keeps seeing a great demand for its recently launched Bitcoin futures product.
According to cryptocurrency data provider Skew, Binance’s Bitcoin futures have set a new volume record on Oct. 15 with more than $700 mln worth of derivatives traded in a single day.
Binance just had a record volume day for its newly launched BTCUSDT futures product : $700mln+ traded on the 15th pic.twitter.com/w0MX0csBEt
— skew (@skew_markets) October 16, 2019
A flying start
The Changpeng Zhao-lead exchange stormed into the unregulated futures market at the beginning of September with two test platforms (Futures A and Futures B). As of Oct. 8, Skew estimated that the Bitcoin futures launched by this crypto behemoth were already in fourth place by daily trading volume after bitFlyer, Huobi, and, of couse, BitMEX. The market share of Binance reached 8.63 percent on Oct. 14.
In his recent blog post, Aaron Gong, the director of Binance’s futures, outlined the main reasons behind the product’s quick rise to the top. He claims that Binance has the best matching engine in the industry, low trading fees, and a liquid spot market.
An uphill battle
Considering the rapid growth of Binance’s new product, it’s not far-fetched to assume that it could soon pose as a serious competitor for BitMEX, which is the number one destination for trading cryptocurrency derivatives.
Deribit, Bybit, and other platforms have already been surpassed by Binance, but taking BitMEX’s throne will not be easy. Back June, BitMEX CEO Arthur Hayes proudly announced that the exchange recorded more than $1 trln in annual trading volume.
With that being said, it will be exciting to watch the battle for supremacy between these two crypto juggernauts.
Will Binance manage to surpass BitMEX in derivatives trading volumes? Leave your take in the comments!