According to a Token Analyst, BitMEX is the biggest casino the world has ever seen.
Sid Shekhar, Seychelles, TokenAnalyst co-founder based cryptocurrency says derivatives platform BitMEX rakes in on a daily basis about $700,000 in fees.
Shekhar told Bloomberg while calling the Arthur Hayes-led exchange “the biggest casino ever and That’s where the money is to be made in crypto.”
The rise of BitMEX
With an annual trading volume that worths more than$1 trillion dollars, BitMEX is definitely a force to be reckoned with in the cryptocurrency space.
The launch of perpetual Bitcoin futures that took place In 2016, after the launch of perpetual Bitcoin futures which turned out to be a great success for the exchange, boosted it’s strength there by making it the number one destination for margin trading.
The 100x leverage which was introduced really added more fuel to the fire as this move attracted hordes of price speculators who want to get rich quick with a couple of trades. However, It’s the house that always wins, this is what traders who are risk takers seem to forget.
Nouriel Roubini, the man who hates Bitcoin during his much-talked-about debate with Hayes stated that claimed that it was intended to serve “degenerate gamblers”. The exchange, which ended up in the CFTC’s crosshairs back in July, faces a lot of criticism.
Gambling with Bitcoin
In 2019, the popularity of Bitcoin derivatives experienced tremendeous growth . Skew , the Blockchain data analytics startup has estimated that Bitcoin derivatives now exceeded not less than ten times the top coin’s spot volume.
This OKEx’s Andy Cheung stated that many users trade derivatives instead of actual cryptocurrencies.
Bloomberg points out that futures trading has become much more attractive option for those who still want to make it big in cryptocurrency as bitcoin volatility continues to increase.
Credits: Alex DovbnyaJOIN OUR COMMUNITY