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Will Ripple (XRP) Become the Next Crypto Futures Market?

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When Bitcoin Futures contract was first introduced during the close of 2017, it immediately made headlines. However, unlike Bitcoin futures contracts, which have attracted thousands of traders after the release, XRP futures contracts did not enjoy the same fate. Ripple futures contracts, which have been active for almost 18 months now, hardly made any impact on the market. In fact, if you look at the prices, it has been on a downward trend for the most part of 2018.

The first XRP derivatives were introduced by Crypto Facilities, a London based startup, in October 2016. Although the CEO of the company, Timo Schlaefer, has been silent on the matter, he anticipates that there will be widespread adoption of XRP futures in the coming months. “We’re in the process of working with some of the large market makers to draw that further”, Schlaefer affirmed.

With Ripple announcing a partnership with Crypto Facilities, Bitcoin was lagging far behind when it comes to getting its first CFTC regulated Bitcoin derivatives. By the time Bitcoin futures contracts were adopted by the Chicago based commodities companies CBOE and CME Group, Crypto Facilities’ XRP futures contracts were already trading $14.2 million in volume a month. When Cboe’s Bitcoin futures contract expired in January, the Crypto Facilities’ XRP futures had crossed $24.6 million.

Apparently, apart from a few internal investors, not many people knew about the Company’s XRP trading. But it has come a long way from its dark days; “The liquidity has been growing quite a lot”, reported Schlaefer.

Price Movements of Ripple (XRP) Futures

Schlaefer refused to comment on the biggies the company is working with, but his report to CoinDesk offers a crisp insight into the market shift. When closely observed, the data mirrors XRP’s price movements to a great extent. To begin with, the volumes of XRP futures, which have been introduced in October 2016, were on the downtrend until March 2017. However, the XRP futures volume increased exponentially in the following months. During this time, the value of XRP also hiked from $0.03 in April to $0.34 in May. A similar case was observed in January as well when the trading volume touched $24.6 million.

XRP futures, which have been concealed from media’s attention, for the most part, the last year, are indicating positive movements within the market. If you analyze the market trends, it is evident that the trading volume has gone up substantially after the release of Bitcoin futures. With XRP making its way into the mainstream market, it’s expected that the trading volumes will climb higher.

LedgerX and Ripple (XRP) Futures

The CEO of LedgerX, the CFTC-regulated Bitcoin derivatives provider, revealed his company’s plan of exploring XRP futures. It launched its first regulated Bitcoin derivatives last year, and so far traded $100 million in volume.  Paul Chou, the CEO, however, pointed out the limitations that can slow down its appropriation. He said, “Physical settlement avoids those issues because you are not beholden to some abstract price that might or might not be manipulated. You either want the crypto, or you don’t.”

We will be updating our subscribers as soon as we know more. For the latest on XRP, sign up below!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of David Pape via Flickr

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Cryptocurrency Collateralized Debt Positions Are Growing in Popularity

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While Bitcoin (BTC) continues to hover around the magical 10,000 price level, altcoins continue to fight an uphill battle.  Simply put, hopes of a future bull run continue to diminish as Bitcoin maintains its dominance.  One school of thought is that a few altcoins will survive and flourish, but which ones are anyone’s guess.  That being said, it’s hard to go wrong picking against the top coins like Ethereum (ETH), Ripple (XRP), Litecoin (LTC), and EOS.  These projects have managed to find a foothold in the market and have a better chance than most of staying there.  While traders wait for their positions to increase in value, one opportunity that may be worth looking at is initiating a collateralized debt position.

What is a Cryptocurrency CDP?

In traditional terms, a CDP is essentially putting up collateral in order to receive a loan against the deposited amount.  There are several examples of this in our day to day lives.  Auto title loans from large companies like TitleMax are extremely popular with consumers.  Consumers are essentially able to use their car as collateral in exchange for a cash payment which can then be used for whatever needs the consumer has.  The consumer can continue using their car as long as debt payments are made.

The same concept applies to cryptocurrency CDPs.  Consumers are able to put up crypto tokens, such as…

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Hodium Presents a Compelling Opportunity for Outsized Investment Returns

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I’m sure all of us remember the cryptocurrency glory days of 2017 and early 2018.  It was one of the biggest bull runs in history and created incredibly wealth for quite a few early entrants.  Unfortunately, for most of us, those gains have most likely been wiped out during the altcoin apocalypse.  The truth is that traders probably thought a bit too highly of their trading abilities when the reality was that anyone could have thrown a dart at a board and ended up making money.

As markets mature (and the crypto market is definitely maturing) it becomes more and more difficult to generate alpha.  In that regard, it’s similar to traditional financial markets.  I can remember trading during my high school days.  It was the late 90s and right in the middle of the dot.com boom.  Eventually, however, the euphoria fades away and reality hits hard.  Now, it’s become rather difficult to actually trade profitably which has given way to the rise of hedge funds.

Hedge funds are investment funds that pool capital from accredited and/or institutional investors and invest in a variety of assets, often with extremely complex portfolio-construction and risk management techniques.  The professionals employed by hedge funds are the best of the best and have spent years honing their craft.  That is why they’re able to make the millions of dollars that they normally…

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KaratGold Proves Its Business Model By Providing Official Documents

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There has been a lot of renewed enthusiasm in the cryptocurrency market thanks mainly to Bitcoin’s strong move about 10,000.  Although Bitcoin continues to show its dominance, the altcoin market has yet to benefit from that rally.  A few of the largest altcoins remain popular but the rest of the market continues to lag behind.  In 2018, there was a lot of talk regarding a possible altcoin apocalypse where only the strong would survive.  That prediction appears to be playing out as expected.  Going forward, only the best projects that have a real world need will survive.  Crypto traders will have to spend a lot of their time doing proper research in order to find the best opportunities, just like in all financial markets.  One promising project that appears to have the makings of a future winner is KaratGold Coin.

KaratGold Background

KaratGold Coin is a cryptocurrency developed by the reputable German company Karatbars International, which maintains a leading position in the market of small gold items and investments. The project is part of a larger ecosystem, which involves several blockchain solutions that can be used for transactions, communication, investing and other tasks. During the past few weeks, however, the KaratGold ecosystem has been a target of unsavory scam allegations.  

Karatbars International and GSB Gold Standard Banking Corporation…

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