Malta-based cryptocurrency exchange giant Binance has announced that it is increasing the leverage on its Futures platform for its BTC/USDT Futures contract to 125x, which previously only supported 20x leverage.
According to Binance, traders will be able to trade at any leverage between 1x and 125x. As per the release, at 125x leverage a 100 USDT collateral deposit will allow users to hold 12,500 USDT in BTC. Aaron Gong, Director of Binance Futures, said that the exchange saw increased activities from traders, transferring in and out from spot to futures during periods of high volatility. He added,
“We’ve seen continued improvement in our volumes and market share, and we expect to see further gains in the coming months. In Q4 of this year, we will roll out new major features that address community feedback, including several developments to improve the user experience.”
Binance CEO Changpeng Zhao also commented that there had been an increase in institutional participation in trading. He said,
“These professional traders seek out the most efficient ways to trade very quickly, both in terms of cost and performance. And they are flocking to Binance Futures”
Yesterday, in a blog post addressing the performance of BNB during the third quarter of 2019, CZ had said that Binance Futures had recorded higher volumes than its spot market. It is now ranked 2nd in terms of trading volume for crypto-futures exchanges, despite having launched just last month.