Malta-based cryptocurrency exchange Binance announced that, as of today at 09:00 AM UTC, their futures platform will support BTC/USDT futures contracts for up to 125x margin and trading at 125x leverage.
Traders will be able to select the desired leverage for the new contracts from 1x to 125x, a considerable increase from the 20x maximum leverage that the platform initially allowed when it went live last month. By selecting the maximum leverage of 125x, collateralizing 100 USDT will enable traders to hold 12,500 USDT in BTC.
In the same blog post from yesterday where Binance CEO Changpeng Zhao talked about the exchange allegedly surpassing $1B in cumulative profit, “CZ” also highlighted the fact that Binance had climbed to the number 2 spot for trading volumes of cryptocurrency futures exchanges, only surpassed by BitMEX, and that it had already recorded higher trading volumes than Binance’s spot market.
Zhao also talked about the Futures platform in today’s announcement stating, “we have seen an increase in institutional participation in trading, and these professional traders seek out the most efficient ways to trade very quickly (...) and they are flocking to Binance Futures”. Aaron Gong, Director of Binance Futures, remarked that the new limits were implemented without down time or interruptions.