“Our options platform is already a major contender in crypto trading, aided by Bybit’s deep on-screen liquidity, minimal slippage, and robust >100K TPS trading capacity/matching engine.”
Crypto Exchange Bybit has announced the launch of USDC-settled options contracts for Ether (ETH) and Solana (SOL), which is an important step in developing new ways for Bybit users to enhance their experience of trading.
Bybit had launched USDC-settled Bitcoin (BTC) contracts earlier this year, but last week it forged a stronger partnership with Circle, the issuer of the USDC stablecoin, to offer a wider range of USDC options.
The crypto-trading platform consulted its user community to find out the popularity of ETH and SOL options contracts. To celebrate the launch, Bybit is offering up to 66% off trading fees for 30 days if a user signs up before October 4, 2022 at 10:00 UTC.
Options and perpetuals ETH, SOL and BTC via portfolio margin
Bybit’s offering now includes ETH, SOL, and BTC options and perpetuals through portfolio margin. These are cash-settled European-style options that can only be exercised upon expiry of the contract.
The margin and settlement capability in USDC allows users to trade with greater certainty and ease without needing to own the underlying crypto asset.
Ben Zhou, Co-Founder and CEO of Bybit, commented, “Our users asked and we answered. After ushering our first options to market, settled by USDC earlier this year, adding ETH and SOL contracts was the natural next step. Our options platform is already a major contender in crypto trading, aided by Bybit’s deep on-screen liquidity, minimal slippage, and robust >100K TPS trading capacity/matching engine.
Unlike a futures contract where the transaction is mandatory and must be completed on the settlement date, options contracts are optional and will expire without a transaction if the price on the settlement date is deemed unfavourable.
Instant automatic conversions between USD and USDC (or other Circle-issued stablecoins) will also be enabled by the crypto trading platform in a move that further drives crypto adoption and utility.
The roll-out of the optional product followed a trial period which reviewed common feedback to improve the user experience of optimizing margin and risk control mechanisms.