KuCoin to Launch BTC Futures in a Few Weeks
The CEO of the popular cryptocurrency exchange KuCoin, Michael Gan announced the launch of futures contracts during his speech at the largest cryptocurrency forum Blockchain Life 2019. The new trading instrument will work on its own derivative platform KuMEX, became known. Michael Gan said futures will be available within the next few weeks. https://twitter.com/KuMEX_Official/status/1184720471901687808 Note that the KuMEX platform was launched this summer and currently supports perpetual Bitcoin contracts and allows trading with leverage up to x20. KuCoin notes the small popularity of cryptocurrency derivatives can be explained by the too high requirements that platforms set for users. This primarily relates to the minimum contract size. For this reason, KuCoin decided that the minimum contract would be $1. It is worth remarking that to work with risks, the platform created an insurance fund and an ADL (Auto-Deleveraging) mechanism, which guarantees that in the case of forced closure of a position, the amount of user losses will not exceed the margin for this position. The ADL mechanism automatically reduces the leverage of one of the parties to the transaction if the insurance fund is insufficient to cover losses.