What else to excite you than CEO of largest cryptocurrency exchange is planning to launch crypto options platform.? Arthur Hayes, CEO of BitMEX crypto exchange hints that users could also invest in the S&P 500 and Nasdaq by using Bitcoin (BTC).
Bitcoin to Invest in S&P 500 and Nasdaq
In a podcast interview with Luke Martin, Arthur Hayes speaks about Bitcoin, future of BitMex and the possible price of Bitcoin in the near future. Speaking to Luke Martin, Hayes reveals that he is planning to go beyond Peer-to-peer crypto trading platform. He says that BitMEX is looking forward to launching the cryptocurrency option platform, adding a period of 12 to 18 months as a possible time to hit the market. In Hayes words;
“We hope to possibly have our own options platform in maybe 12 to 18 months”
For those who don’t know ‘cryptocurrency option platform’, it is quite similar to futures which lets you hedge on the future prices of an asset. Reportedly, CME (Chicago Mercantile Exchange) seems the most popular Cash-settled cryptocurrency option platform. In comparison to futures, traders in options trading are not obligated to trade the asset but it carries a small fee if the trader wants to back out from the deal.
While Hayes hints his forthcoming plan, he kept further details with him. Continuing on a similar tone, he notes that platform is launching a Bitcoin-backed short term bond which helps people purchase S&P 500 and Nasdaq QQQ indices without Bitcoin-USD risk.
Hopefully, by summer of this year, you’ll be able to use Bitcoin and purchase the S&P 500 and Nasdaq QQQ indices… and essentially, you won’t have Bitcoin-USD risk. You’ll send bitcoin. They’ll FX it into dollars, and allow you to buy a swap. And when you want to leave, you’ll sell the swap, get back dollars, and then you can get back your bitcoin.
As such, he reveals that somebody is working on set plans.
“We have somebody working with some university professors on a complicated new way of doing this,” Hayes said. I want to create a future where the highest quality exchanges and miners… issue short-term Bitcoin bonds to the ecosystem
What do you think about BitMex’s upcoming move? Share your thoughts with us.
Disclaimer The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.