FTX has grown tremendously this past year. Our daily volume is averaging $5b, our userbase has grown, and this week we unveiled trading on Blockfolio. Those are just the start; there’s a ton of big things on the horizon.
We are pretty happy with how things have been going in 2021, both for us and for the crypto community as a whole. It’s important in times like these, though, to never lose sight of the fact that revenue and expansion can only ever be step one of a two-step plan; they are not ends in and of themselves.
FTX was…
Join us on December 22nd at 5PM PST (01:00 UTC, 09:00 SG/HK) as the CEO of FTX, Sam Bankman-Fried, Founder of Ethereum, Vitalik Buterin, and Managing Partner at Dragonfly Capital, Haseeb Qureshi will be getting together before the holidays to share their views on giving in crypto, Effective Altruism, and their work in the space.
In the spirit of giving, Sam, Vitalik and Haseeb will each be personally donating $50,000 to a charity of the community’s choosing. They have each selected one of their favorite charities, and will let Twitter vote which charity will be the recipient of the pooled…
We’ve had a lot of exciting new developments at FTX in the past few months. From stock trading to increased capacity for load to prediction markets to spot margin, we’ve heard what features the crypto community wants from an exchange, and we’ve listened.
But while our products and features have evolved quickly, our user interface hasn’t changed much since we launched…
Until today. We’re launching a new and improved version of the FTX site — all the products and functionality you’ve come to expect, but with a sleek new feel and easier access to the most important trading features. …
A surprisingly large number of us come from a trading background. And as traders, we think a lot about capital efficiency and liquidity. This is reflected in some of the fundamental decision on the platform including subaccount-wide cross-margining system and easy ways to access leverage.
Today we’re introducing spot margins which allows users to borrow additional funds for trading. Previously, when using FTX for spot markets, you must have adequate balances in the quote currency to exchange for the base currency. …
Today we’re releasing our investigation into cryptocurrency volume on exchanges around the world. To see our live-updating results, visit.
CoinMarketCap has taken steps to identify fake volume, but there are still more to take. Studies like the one conducted by Bitwise Asset Management come up short in the other direction, filtering out too much real volume.
Alameda Research, a global liquidity provider and our partner in this investigation, has the expertise required to draw a meaningful line between real and fake crypto volume. This report is accompanied by an in-depth paper that documents our methodology and analysis, where you can…
Let’s say you own 100 BTC and you want to hedge them. You have two options: short sell 100 BTC/USD on an exchange with margin trading, or sell 100 BTC futures. Which is better?
Arguments for Margin
Margin trading has two great properties.
The first is fungibility. Let’s say you own 100 BTC on Coinbase and hedge it by shorting 100 BTC/USD on margin on Kraken at a price of $8,000. You can then send your 100 BTC over from Coinbase to Kraken, and immediately settle. Because your short position is literally a BTC short, you can combine your 100 BTC long with…
Normal Trading
Say some account A deposits $1m of collateral to buy $5m of BTC futures. They are currently 5x leveraged, and a 20% BTC move away from bankruptcy. They can trade normally.
Account A:
Position: long $5m
Assets: $1m
Leverage: 5x
Distance from bankruptcy: 20%.
Orderly Liquidation
Now say that BTC drops 11%. A has dropped below Initial Margin Fraction (10%) and can no longer send orders.
FTX — Cryptocurrency Derivatives Exchange
FTX is a cryptocurrency derivatives exchange built by traders, for traders. Find us at ftx.com, https://t.me/FTX_Official, and https://twitter.com/FTX_Official
