We are launching a LTCUSD quanto perpetual swap contract with up to 33x leverage on 30 July 2020 at 04:00 UTC. This is the fifth quanto contract to be launched on the BitMEX platform, offering users further diversification of trading opportunities. It follows the successful introduction of the XRPUSD and BCHUSD quanto perpetual swaps and ETHUSD quanto futures earlier this year.
Like other quanto swaps, the LTCUSD product will have a fixed Bitcoin multiplier regardless of the USD Litecoin price. This allows traders to long or short the LTC/USD exchange rate without ever touching either LTC or USD. Traders post margin in XBT, and earn or lose XBT as the LTC/USD rate changes. This quanto risk premium may be one of the factors which results in the LTCUSD swap trading at a premium / discount to the LTCUSD spot price – see our blog post explaining the same concept for ETHUSD from 2018.
Key contract details:
- Symbol: LTCUSD
- Bitcoin Multiplier: 0.000002 XBT (200 Satoshis)
- XBT Contract Value: LTCUSD Price * Bitcoin Multiplier (200 Sat/$1)
- Underlying: .BLTC
- Max Leverage: 33x
- Maker Fee: -0.025%
- Taker Fee: 0.075%
- Base Initial Margin: 3.00%
- Base Maintenance Margin: 1.50%
The contract will be visible on the platform from 29 July 2020 at 04:00 UTC as Unlisted, 24 hours before the start of trading.
For any questions regarding this announcement, please contact Support.