KuCoin’s Futures Platform KuMEX Launches Bitcoin Quarterly Delivery Contract
On October 30, 2019, KuCoin’s Futures Platform KuMEX will officially launch the Bitcoin Quarterly Delivery Contract.
Unlike the current Bitcoin Perpetual Contract on KuMEX, a delivery contract has an expiry date and will be settled to a price derived from the underlying asset according to a prespecified rule. The delivery date of the KuMEX Bitcoin Quarterly Delivery Contract is the last Friday of the contract month. The price to settle at is a 30-minute Time Weighted Average Price (TWAP) of the spot index at 12:00 UTC on the delivery date. Traders can identify the contract month according to the contract ticker. For example, the ticker for a Bitcoin contract to settle in December 2019 is XBTZ19.
Quarterly contracts for 2 consecutive quarters will be listed on KuMEX. For example, if today is May 1, then the contract month will be June and September.
Officially launched on July 8, KuMEX, the futures trading platform developed by the KuCoin Team, now offers up to 20 times leverage. Compared with other major futures exchanges, the Bitcoin Spot Index used by KuMEX is the volume-weighted average US dollar price of Bitcoin across six exchanges: Coinbase Pro, Bitstamp, Kraken, Gemini, Liquid, and Bittrex. Including the figures from more platforms ensures the index price on KuMEX is fairer, avoiding the user’s contract being liquidated due to the low liquidity of the trading platform or large price fluctuations of one or two spot exchanges.
KuMEX offers a competitive fee structure, which is currently 0.060% for takers and -0.025% for makers. We believe the negative maker fee will encourage users to provide liquidity to the platform by making the market while also earning some commission as an incentive.
In September, KuMEX added support for Russian, in addition to supporting English and simplified Chinese languages on the platform. According to Michael, the platform will support more languages like Vietnamese and Turkish later this year.
