Bitcoin Futures Contract

[yudhistira]

Hey, someone know what is Bitcoin Futures Contract? and what will be the advantages of buying it?

Thanks!
Also noticed that there is project called payperex.com doing something similar

Hello,
This is a short and easy example of how futures work:
let's say you think the price of some coin (A), which is currently $ 50, will grow to $ 100 for two months.
Someone offers you the option to accept $ 80 for A after two months. You accept, which means you have just bought a futures contract.
If you guess, you'll pay $ 80 for something worth $ 100. However, if you are wrong and the price is lower, then you will pay more than A costs in the market and you will not be satisfied.
Also, if you think A will fall cheaper, you can "sell" a futures contract - you agree to deliver A after two months at a price, say 80 dollars. When that time comes, you buy A at the market price and deliver it to the contract holder against the promised amount.
If you are right and the market price is less than $ 80, you have earned a profit.

I hope I've been useful to you

[Cryptokobi]

Hey, someone know what is Bitcoin Futures Contract? and what will be the advantages of buying it?

Thanks!
Also noticed that there is project called payperex.com doing something similar

Hello,
This is a short and easy example of how futures work:
let's say you think the price of some coin (A), which is currently $ 50, will grow to $ 100 for two months.
Someone offers you the option to accept $ 80 for A after two months. You accept, which means you have just bought a futures contract.
If you guess, you'll pay $ 80 for something worth $ 100. However, if you are wrong and the price is lower, then you will pay more than A costs in the market and you will not be satisfied.
Also, if you think A will fall cheaper, you can "sell" a futures contract - you agree to deliver A after two months at a price, say 80 dollars. When that time comes, you buy A at the market price and deliver it to the contract holder against the promised amount.
If you are right and the market price is less than $ 80, you have earned a profit.

I hope I've been useful to you

Thanks it was!

[tackyforce]

Bitcoin futures contract is securing a number of btc that you want to use. You benefit by buying them for less compared to how they value later on.

[Cryptokobi]

Bitcoin futures contract is securing a number of btc that you want to use. You benefit by buying them for less compared to how they value later on.

No, it's no the case

[cutebat]

The contracts are used for you to purchase Bitcoins in the future. It can either be bigger or smaller, depending on the trend. But, for sure, it is something to secure you.

[Cryptokobi]

Bitcoin futures contract is securing a number of btc that you want to use. You benefit by buying them for less compared to how they value later on.

Just keep it simple, the PayperEx solution is much more user friendly. I bought the PAX token and going to spread my investment there. U should check it out if U in to trading https://payperex.com/postsale/

[Georgeberg]

Bitcoin futures contract is securing a number of btc that you want to use. You benefit by buying them for less compared to how they value later on.

Just keep it simple, the PayperEx solution is much more user friendly. I bought the PAX token and going to spread my investment there. U should check it out if U in to trading https://payperex.com/postsale/

They are running Crypto Index campaign now

[Black_bl]

I'm confused from one thing, why so many people claim that bitcoin futures haven't an influence on the price of Bitcoin. Let's take a look on this example. Let's assume that I have a lot of dollars and I'm active on crypto exchanges as well as for instance, on CBOE. One day banks say themselves, okay what will do and begin to short bitcoin futures thanks to their billions of dollars. When you look at prices on exchanges you'll see increasing gap (let's say the price on exchange doesn't move down yet). In the moment a person A (who owns bitcoins) start to sell bitcoins on exchange and meanwhile buy futures/option/cfd and thanks to gap between prices, the person A will get profit after paying commissions and fees (the gap between prices must be enough large). The person A didn't lose own portfolio of bitcoin just made a profit this action and result is, that bitcoin price goes down on exchanges as well. Person B hasn't own any bitcoin just has dollars on exchanges. The person B begin to short Bitcoin via margin because the person B see the gap between prices of futures and spot. Result is the same, the price of Bitcoin goes down. This case is for those who want to have the same amount of bitcoin in their portfolio, the second group which is initial impulse for this move are aggressive traders/banks which get profit from net shorts because they know how this game is played. Well, this is mechanism how bitcoin futures influent the spot price of Bitcoin. If you disagree or have something to point out, let's take a look closer.

[Cryptokobi]

I'm confused from one thing, why so many people claim that bitcoin futures haven't an influence on the price of Bitcoin. Let's take a look on this example. Let's assume that I have a lot of dollars and I'm active on crypto exchanges as well as for instance, on CBOE. One day banks say themselves, okay what will do and begin to short bitcoin futures thanks to their billions of dollars. When you look at prices on exchanges you'll see increasing gap (let's say the price on exchange doesn't move down yet). In the moment a person A (who owns bitcoins) start to sell bitcoins on exchange and meanwhile buy futures/option/cfd and thanks to gap between prices, the person A will get profit after paying commissions and fees (the gap between prices must be enough large). The person A didn't lose own portfolio of bitcoin just made a profit this action and circumstance is that bitcoin price goes down on exchanges as well. Person B hasn't own any bitcoin just has dollars on exchanges. The person B begin to short Bitcoin via margin because the person B see the gap between prices of futures and spot. The circumstance is the same, the price of Bitcoin goes down. This case is for those who want to have the same amount of bitcoin in their portfolio, the second group which is initial impulse for this move are aggressive traders/banks which get profit from net shorts because they know how this game is played. Well, this is mechanism how bitcoin futures influent the spot price of Bitcoin. If you disagree or have something to point out, let's take a look closer

Interesting point

[AmberStephenson]

I think that bitcoin also should be audited, but Idk any projects which can provide it Smiley

[alekseidanilov0803]

December 2017 Bitcoin began to appear with the group on Forex brokers of the world the appearance of futures on the Chicago stock exchange caused even more interest. The largest PIF includes crypto-currencies in its portfolios.

[Cryptokobi]

Hey, someone know what is Bitcoin Futures Contract? and what will be the advantages of buying it?

Thanks!
Also noticed that payperex (www.payperex.com)com doing something similar

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[Karakyli]

The use of futures for trading with bitcoin does not mean the actual sale or purchase of BTC, but only the impact on the change in the exchange rate of the crypto currency by changing the demand for it.
For owners of tangible assets, price stability is important, in which one can be confident in advance; for them, futures contracts are important as a form of insurance against particularly unfavorable prices that may arise in the future.

[Downloadlink]

I did not see the contract net future bitcoin but I'm sure that the future netco bitcoin and It will be a good way to experiment seeing the values.

[maksimmaksimov]

 It is said that the consortium of Chinese miners has already exceeded this bar. In my opinion, this greatly undermines the possibilities of bitcoin to become a world currency.