According to Binance’s blog post announcement, Binance Futures will launch the highly anticipated USDT-M ETHW perpetual contract on November 28, 2023 at 12:30 (UTC). With impressive leverage of up to 50x, this addition to the Binance Futures portfolio opens up exciting opportunities for traders looking for greater flexibility and potential returns.
Following the announcement, the price of EthereumPoW (ETHW) skyrocketed within a couple of hours. At the time of this publication, the price of EthereumPoW (ETHW) was trading at $2.93, with a 24-hour trading volume of $99.3 million. This marks a gain of 14.62% in the last 24 hours and an increase of 81.14% in the last 7 days, making ETHW one of the top gainers on the list.
Furthermore, Binance marks another listing of perpetual contracts right after the launch of USTCUSDT perpetual contract with almost similar features.
Binance Futures ETHW Features and Offerings
The underlying asset of the contract is ETHW (Ethereum Proof of Work) and the settlement asset is USDT. Traded 24/7, this perpetual contract offers traders continuous opportunities to participate in the market. The tick size is 0.001, which offers precision in the execution of trades.
One of the notable features of the Perpetual Contract is its limited funding rate. The capped funding rate will range between +2.00% and -2.00%. This rate, which settles every four hours, adds an element of predictability to trading strategies. Trading enthusiasts will also enjoy 24/7 trading hours, allowing for global market participation.
To provide exemplary liquidity to liquidity providers, qualified USDT margined futures providers are in luck. There will be a refund on the 0.005% maker fee for approximately 14 to 15 days when trading the USDT-M contract.
After the applicable incentive period, the platform determines creator fee rebates for qualifying USDT-margined futures in the promotion. The platform will distribute rewards based on the user’s level in the USDT-margined Futures Liquidity Provider Program. This incentive aims to improve liquidity and recognize active market participants.
A notable feature is the multi-asset mode, which allows users to trade the ETHWUSDT contract across multiple margin assets. Imagine using Bitcoin as margin when trading ETHWUSDT, meaning flexibility and diversification in one seamless experience.
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Adapt to market dynamics
Binance has listed a number of tokens available exclusively for futures trading, creating a stir in the crypto community. Tokens including KAS, BSV, PYTH, BONK, ORBS, BIGTIME, TOKENFI, and ETHW have quickly become the latest sensation following their recent listing on Binance.
Market analysts suggest that the key driving force behind this strategic decision lies in the ability to generate fees without taking on undue liabilities. Contract users, known for their strong risk tolerance, appear unfazed by market fluctuations, providing a lucrative route to earning commissions. On the other hand, spot users, accustomed to a more stable market, often express their discontent during price drops.
It is essential to note that, in response to market conditions, the contract is subject to market changes. Changes may include funding fees, tick sizes, maximum leverage, and margin requirements. Traders are advised to stay up to date with the latest announcements for any adjustments.
With the launch of the USDT-M ETHW perpetual contract, Binance Futures not only introduces a cutting-edge trading instrument but also provides traders with a dynamic and flexible platform.
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