LOS ANGELES, May 2, 2018 /PRNewswire/ -- Bitfair, an Over the Counter derivative exchange allowing crypto traders to trade up to 1000X leverage and profit during up or down price movement of their favorite cryptocurrency, will be publicly announced at the Crypto Invest Summit in Los Angeles, taking place from 30 April to 2 May.
Bitfair has taken the revolutionary step of extending derivative trading to the cryptocurrency market. Until now, it was only possible to invest in this way in a handful of cryptocurrencies, namely large ones like Bitcoin and Ethereum. Bitfair is extending this possibility to a much wider range of coins through its innovative trading vehicle and matching algorithm. It is also providing derivatives that will facilitate safer and more complex derivative trading, including smart option contracts, a decentralized price API, and a tool that is perfect for investing in downward price trends.
Bitfair's Innovative Investment Tools
In extending derivative trading to the cryptocurrency market, Bitfair seeks to make it as safe and convenient as possible for investors to get involved. The platform is releasing a number of tools for investors to use, including:
- Smart Option Contracts- Also known as SOCs, these agreements rely on instructions to automatically enforce the terms of derivative trading deals. When two people sign an SOC, they agree on the period of time over which they will trade the derivative in question, as well as the maximum change in value that they will have to compensate one another for. This makes it easier for investors to limit their capital losses, leading to safer leveraged trading.
- Price APIs- The Bitfair platform offers transparent pricing utilising the Cryptocompare API's, which shows the weighted average price across various Exchanges of all the different cryptocurrencies whose derivatives are being traded. This tool makes it easier for investors to understand the real value of tokens and protect themselves against price manipulation. They will thus be able to make more accurate estimates, letting them trade derivatives more safely and profitably.
- Downward Trading- Until now, it was extremely difficult for investors to profit directly from downward movements in cryptocurrency prices. Bitfair has now made it possible to buy derivatives for downward movements, so investors who know a token is overvalued can profit from that information. This gives cryptocurrency traders more options to diversify or hedge their investments and profit in any market.
To facilitate transactions on the platform, Bitfair is developing its own cryptocurrency, the XBF Token. This utility token will be released during presale stages starting on July 9th. By releasing XBF in large quantities and then decreasing the supply over time, the platform hopes to encourage as many traders as possible to get involved early. If successful, it will bring in ample funds and participants, providing a strong foundation and future success of cryptocurrency derivative trading. The official ICO date will be announced soon, together with the demo version of the Bitfair platform.
Founders Thomas van der Spuy and Greg van der Spuy will be at the Crypto Invest Summit and available for interviews and any media queries.