Anyone Trading Crypto Futures on Binance?

Discussion in 'Crypto Assets' started by zghorner, Sep 15, 2022.

  1. zghorner

    zghorner

    Damn total bummer. Thanks for clearing that up.
     
    #11     Sep 15, 2022
  2. MichalTr

    MichalTr

    I'm trading there, quite a lot. Very good (as for crypto) liquidity, especially on alts (but also the biggest BTC and ETH perps liquidity across exchanges).

    If it's good for someone depends mostly on trading style.

    About your derivatives problem - I think you will still be able to trade some perps on Bybit without verification (with little help of VPN or other solutions). Liquidity on main pairs is not that bad (similar to FTX), costs structure not that great but still not bad.

    I think the same would be with OKX (also very good liquidity on main coins)
     
    #12     Sep 15, 2022
    johnarb and zghorner like this.
  3. Crypto and crypto derivatives are considered to be gambling grounds in many countries. So governments apply gambling rules to them. That's what they are banned in the US.

    IBKR keep sending me marketing propaganda about their crypto garbage, I guess you guys can use them if you want to trade crypto futures on CME.
     
    #13     Sep 16, 2022
  4. MichalTr

    MichalTr

    I wouldn't advise that - liquidity on CME for crypto almost doesn't exist. Also margins are crazy.
    Props, market makers etc. normally trade derivatives on Binance, FTX and other biggest exchanges - nothing scarry to trade there.
     
    #14     Sep 16, 2022
    johnarb likes this.
  5. cesfx

    cesfx

    Any liquidation risk?
    if eth doesnt go to zero obviously. I read that it's rebalanced daily, but is it capped? Or a -40% day can wipe it out?

    Edit: I found this
    https://help.ftx.com/hc/en-us/articles/360032509552-Leveraged-Token-Walkthrough-READ-THIS-

    I guess there is a risk, but it's an interesting bet on short term leveraged play.
     
    #15     Sep 16, 2022
  6. MrMuppet

    MrMuppet

    That's utter bullshit, of course.

    The reason why nobody wants any US clients is the citizenship tax. If you want to onboard US clients to your financial service you'd have to report to the IRS which is a huge hassle.

    So as a matter of fact no:
    - non US Hedgefund
    - bank outside the US
    - financial service provider

    will onboard US clients if it isn't absolutely necessary and worth the effort.

    In addition derivatives fall under the regulation of SEC, CFTC and FINRA, which haven't given their thumbs up, but in reality that's the smallest issue
     
    #16     Sep 16, 2022
    johnarb and MichalTr like this.
  7. The token itself can definitely converge to zero - many have. But it cannot liquidate against your account so long as you don't buy the tokens themselves with leverage. not even sure if you can.
     
    #17     Sep 16, 2022
    cesfx and johnarb like this.
  8. Ed48

    Ed48

    Interesting idea.

    I can't access these tokens, or any crypto ETFs, in my UK trading account.

    But I can trade a 3x Coinbase ETF, which seems to follow 3x BTC fairly closely. Will give this some further thought before the next crypto bull market (assuming there is another bull run of course :D).
     
    Last edited: Sep 17, 2022
    #18     Sep 17, 2022
  9. You'd have to open an FTX account, but I'm pretty sure it's available in the UK.
     
    #19     Sep 17, 2022
    Ed48 and johnarb like this.