CoinfloorEX, founded last year as a unit of London-based Coinfloor, the UK’s oldest Bitcoin exchange, will relaunch in February as a spinoff and will be rebranded as CoinFLEX (Coin Futures and Lending Exchange). Domiciled in Hong Kong, the new exchange is launching physically delivered cryptocurrency futures.
The derivatives, offering leverage of up to 20 times, will be available next month to its target market: Asian retail investors.
In an interview with Bloomberg, CoinFLEX CEO Mark Lamb says the platform will offer futures for Bitcoin, Ethereum and Bitcoin Cash.
The introduction of the new exchange may scoop upcoming cryptocurrency platforms Bakkt and ErisX, projects that have been frontrunners in the race to offer physically settled Bitcoin futures. Announced in August of last year, Bakkt is a new Bitcoin exchange that will allow consumers and institutional investors to buy, sell, store and spend cryptocurrencies. It also expects to offer physically settled Bitcoin futures.
Announced in October of last year, ErisX plans to launch a derivatives exchange and clearing organization that bring together digital asset futures and spot contracts onto a single, fully regulated platform.
Both Bakkt and ErisX, heavily backed by major Wall Street investors, are expected to launch in the first half of 2019, pending further developments and regulatory approval.
In addition to these platforms, CoinFLEX will challenge BitMEX, the world’s largest crypto futures exchange. Also based in Hong Kong, BitMEX has maintained a tremendous edge among traders, as it offers 100 times leverage on various crypto futures contracts.
“I’ve been in the market for six years, so seeing this kind of 80% correction is really nothing new. Bear cycles in crypto can go on a long time but ultimately,