Options trading platform Tmexbit was created and is being developed by a team from Slovenia. Currently, the trading platform is operating under the jurisdiction of the Marshall Islands, but the relocation of the business under the jurisdiction of the Republic of Slovenia is now actively in progress. This process is being performed under the responsibility of a local consulting company, which takes up the process of document formation and approval by the regulators of the normative documents concerning the anti-money laundering legislation, compliance systems and personal data protection. We expect to be under the jurisdiction of Slovenia by the fall 2019.
Tmexbit is distinguished from other crypto trading platforms mainly for the following reasons:
- Deposits to trading accounts and trading in all instruments are performed in stablecoin USDC. USDC is a stablecoin launched by the Circle company supported by Goldman Sachs, Bitmain and others. It is backed by US dollars, which are held in reserve by regulated financial institutions. The tokens themselves are also issued by regulated financial institutions, and every token can be redeemed for one dollar — effectively providing a price stable cryptocurrency. You can purchase USDC on basically every cryptocurrency exchange. Contracts in USDC provide a variety of advantages to our clients:
- No need to keep a Bitcoin deposit for the futures and option trading in Bitcoin and a separate Ethereum deposit for the futures and option trading in Ethereum;
- No double risks commonly associated with the trade of inverse futures contracts when the value of the trading currency drops;
- It’s much easier to perceive contracts in USD(C) and to interpret the impact on the account when the price moves up or down.
- Profit / loss shows in conventional currency.
- No overnight fee for the positions in Perpetual (“perpetual futures”) contracts. No Funding Fee, no Premium Fee, or any other additional fees. There is only one standard fee for the execution of the deal. This makes perpetual contracts more attractive to clients on our platform, as they can use just a share of the margin money, rather than purchase the underlying asset. Plus, the absence of additional fees makes our Perpetual contracts a perfect instrument both for hedging of the open positions in options and for arbitrage with the futures contracts on other platforms, regardless the current contango or backwardation on the market.
- Portfolio margin in Tmexbit is automatically used for all of our clients. This means that the platform is not intended for gamblers who trade directive positions at hundredth leverage. Portfolio margin is primarily beneficial for option traders who trade various options strategies and/or hedge their options structures. A naked position in futures would require margin 8-10% of the position value.
- The platform uses dynamic clearing in real time, and that means that the margin is credited and debited in real time as well.
- The mark price for Perpetual contracts is the value of the underlying index.
Our roadmap for Tmexbit is to further differentiate us from our competitors by providing futures and options trading in new instruments. In the meantime, conservatism and reliability remain our top priorities.
Tmexbit.io
