The past month has not been easy for crypto derivatives traders. This is because Binance, one of the largest cryptocurrency exchanges, announced that it will no longer offer derivative trading to its Hong Kong users. This came after similar services were suspended in European countries such as Germany, Italy and the Netherlands.
According to Changpeng Zhao, CEO of Binance, the reason for this decision is that the exchange is “moving from reactive compliance to proactive compliance.” Regulators around the world have struggled with cryptocurrency trading platforms, which has left crypto derivatives traders worried about where they can trade crypto derivatives.
New Crypto Derivatives Home
While members of the crypto community may be concerned about the current regulatory landscape, some cryptocurrency brokers are expanding their offerings to cater to retail clients. Eightcap, an award-winning CFD broker, announced on August 6, 2021 that it will launch more than 250 crypto derivatives.
With this announcement, Eightcap is now the largest provider of crypto derivatives in the industry. Its many features make this the first choice for both existing crypto derivatives traders looking to switch from Binance and similar places, and crypto fanatics looking to start making their strides on crypto derivatives. The trading account can be funded through various payment methods including PayPal, Skrill, and credit/debit cards.
Binance users are very concerned about whether they will be able to withdraw their funds. This is not the case with Eightcap, which has stepped in as a crypto derivatives provider where there is no need for a wallet, making withdrawals simple, efficient and fast for the user. Trust in a derivatives broker is essential to the current crypto market, and Eightcap is proud of this. This is what makes Eightcap a new home for crypto derivatives trading, even amid the regulatory concerns that many users are experiencing.
Speaking about the situation, Eightcap CEO Joel Murphy said, “Regulatory issues faced by cryptocurrency exchanges such as Binance mean that traders have unnecessary concerns about their funds and whether they can withdraw it. With us, Crypto derivatives traders can have a seamless experience from the moment they open an account to the time they want to withdraw their funds.” .
The CFD broker has been proactive in maintaining a good relationship with regulators, and Eightcap is currently regulated by the Australian Securities and Investments Commission (ASIC), the Financial Conduct Authority (FCA), the Cyprus Securities and Exchange Commission (CYSEC) and the Bahamas Securities Commission ( SCB). This is not only to prevent Binance-Esque’s position with derivatives trading but also for its other financial instruments, including the forex, indices, commodities and stocks markets.
With all of its many attractive features in place, Eightcap is poised to dominate the commerce sector going forward.
Eightcap’s offering is solely focused on creating regulated leveraged derivatives trading opportunities for Cryptocurrency traders that offer more security than traditional offshore exchange platforms. We are pleased to offer a solution that meets the needs of crypto derivatives traders so that they can gain the best possible trading experience,” said Marcus Featherstone, Eightcap’s COO.
move forward
When news broke about Binances’ problems, many were concerned that the derivatives market was on its way out. However, Eightcap shows that the sector has only scratched the surface for what it can do. Going forward, customers at Eightcap can expect to receive crypto derivatives with unparalleled spreads, even as the cryptocurrency is subject to regulatory restrictions.
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