Crypto exchange OKEx is introducing bitcoin options trading later this month, as per an announcement on December 9.
The Malta-based exchange presently provides spot and futures trading in digital currencies, launching cash-settled options trading BTC/USD pair on December 27 because of institutional demand.
“We have been seeing the increasing demand of crypto derivative products across all our client segments, especially from our institutional clients, which have shown the fastest growing demand in derivative trading, especially on futures or perpetual swap,” stated Jay Hao, CEO of OKEx.
The exchange stated while other trading platforms only support purchase options, its offering will have both buy and write (sell) options. Options contracts provide traders a chance to buy or sell an underlying asset relying upon the kind of contract they hold.
To get to OKEx options, clients should go through a know-your-client (KYC) verification method, along with pass a suitability assessment to show they understand options trading, per the declaration.
Derivatives exchange tycoon CME Group has additionally been planning to roll out an options product attached to its bitcoin futures on January 13, while Bakkt also launched its options contracts yesterday. Cryptocurrency exchanges Deribit and LedgerX have already been providing options trading.