This year, bitcoin futures open interest rose to 33% between September and October, with maximum purchases coming from institutions.
Despite the growing popularity, the cryptocurrency derivatives market is at its early stages, thus implying evolving innovations of trading services. Cobidex is one such example as the first soon-to-be community-owned cryptocurrency derivatives exchange platform.
Cobidex will commence its journey as centralized cryptocurrency derivatives exchange with the main focus on empowering its trading community. In line with this, Cobidex boasts an extensive array of reward programs that traders will start receiving from day one. Cobidex will remain a community-oriented centralized platform until it creates substantial liquidity and expands the number of trading instruments. Once that’s achieved, Cobidex will become a 100% decentralized platform.
Cobidex: a community-owned derivative exchange alternative
Cryptocurrency traders’ growing interest in Bitcoin futures can be linked to the 2018 spot market slump. Cryptocurrencies have always been volatile, and it is difficult to predict when the market will turn bearish, thereby plummeting the token prices.
With perpetual contracts, traders can hold on to their cryptos for as long as they wish. This is irrespective of the price movements of the assets. Therefore, a respite from spot trading comes in the forms of Bitcoin derivatives or perpetual. However, to realize the full potential of cryptocurrency derivatives trading, digital assets need deeper liquidity. Assets with deep liquidity enjoy a better trading frequency, and investors become more likely to alleviate liquidity risks.
Cobidex ensures deeper liquidity by starting as a hybrid exchange where traders can benefit from maximum liquidity and minimum slippage. Currently, Cobidex enables up to 100,000 transactions per second. Furthermore, Cobidex provides access to the world’s most popular cryptocurrency perpetual futures contracts.
Funding can be quickly done through any of the 20 Spot Wallets that a trader will find on the user dashboard. This includes BTC, ETH, LITE, DOGE, SUSHI, AAVE, XRP, and many others. This is a step up from Bitcoin derivative exchanges that impose certain limitations on the type of cryptocurrency a user must deposit to start trading.
The cobidex promise: Where traders enjoy first-priority
Traders on Cobidex have a number of opportunities to earn the native governance token, Cobi.
Rewards are generated primarily through three types of activities on Cobidex, namely:
- Trade mining: Cobidex rewards its traders with Cobi tokens simply for using the platform for trading. The reward corresponds precisely to the trading fees paid and is distributed every 24 hours.
Traders will generate 1 Cobi for every $0.05 paid in trading fees till coin distribution reaches 600 million. For more information on the reward ratio between the trading fees and Cobi, check out our tokenomics page. The long-term benefits of Hodlers are directly related to the success of the exchange.
- Referral mining: Cobidex offers a referral bonus to its traders for inviting their peers and acquaintances. Initially users can send up to five invites. Later on the number can be increased depending on the invitees’ trading activities.
Traders would unlock the referral bonus as soon as a new user registers using their link and start trading on Cobidex. Users will earn 20% of their invitees’ trading fees, forever. The referral reward will initially be paid out in Cobi. Once the token distribution period has ended, Cobidex will pay out the referral bonus in USDT.
- Liquidity Mining: By depositing BTC, USDT, ETH, and other alt-tokens, traders can earn liquidity mining interests on Cobidex in the deposited token. Additionally, an extra payout is also made in Cobi.
Conclusion
Cobidex aims to create a Bitcoin derivatives exchange that weighs its achievements in correspondence to the success of its traders. Cobidex provides a leverage higher (125x) than other exchanges. Cobidex also boasts a well-thought-out incentive program that provides real rewards for its trading community. This makes Cobidex a unique, community-first derivatives platform.
So, willing to be a part of the change? Feel free to check the Cobidex community on Twitter and Telegram for more information.
Disclaimer
All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.
