Deribit, a cryptocurrency exchange, intends to implement trading in bitcoin volatility futures contracts.
Deribit will be the first platform to offer such a crypto derivative to its clients. In this case, the price, margin, and settlements will all be in US dollars.
According to Deribit's Twitter page, BTC DVOL futures are based on the Deribit Bitcoin Volatility Index, which measures the perceived volatility of the largest cryptocurrency. The Deribit Volatility Indicator forecasts investor expectations for year-over-year volatility for the next 30 days.
For the first time, BTC DVOL futures will be available with a single expiration date on the Deribit platform beginning March 27.
As explained by CEO John Jansen, DVOL can indicate changes in the state and direction of the Bitcoin market, making it an indispensable tool for traders looking to keep up with the times and an excellent base for trading volatility.
