Cryptocurrency trading business, winter changes.

According to 31QU statistics, many cryptocurrency exchanges have launched currency exclusive services, supporting the use of USDT to purchase US stocks.

In other words, investors holding USDT can now conveniently buy and sell U.S. stocks on cryptocurrency exchanges.

"Open the cryptocurrency market and stock market so that every investor can buy high-quality assets." This is the slogan of a new currency trading platform.

With the development of the cryptocurrency industry, cryptocurrency exchanges have already developed from the initial single Bitcoin trading to multi-currency trading, and even joined many financial games, such as futures options trading and contract trading, to Meet the needs of investors.

However, in the current downturn in the cryptocurrency market, is this a new way of playing, or is it old wine in new bottles? Can Share Trading Save the Slumming Cryptocurrency Trading Business?

Text/31 Qu Linjun

New games derived from the bear market

"In July last year, the signs of the bear market in cryptocurrency were already obvious." As a person in Liu Ran, a veteran who has been in the cryptocurrency industry for two years, discovered the changes in the entire cryptocurrency market very early, and gradually replaced the altcoins in his hands with the stable currency USDT. "It's an escape."

However, Liu Ran told 31QU that his style is to pursue high returns with high risks. He has money in his hands, and the bear market is not idle either. "There has been little market activity in recent months, and he has played less with spot goods. He is mainly playing with futures."

Forex traders like Liu Ran who have begun to switch from spot to futures and contracts are not alone. In order to meet the needs of these investors, exchanges have also deployed or stabilized businesses other than spot trading.

According to 31QU statistics, many exchanges have announced that they will launch leverage, futures, contracts and other products.

On November 29 last year, Bibox announced that it would enter the field of contract trading and would launch perpetual contract products;

On December 7, ExShell launched leverage trading up to 3 times and announced Perpetual contracts will be launched soon;

On December 7, Bitget announced that they will open permanent contracts in the near future;

On December 10, Huobi DM will be officially launched, supporting BTC and ETH regular contracts. Contract; On January 16 this year, Lan Jianzhong, Vice President of Huobi Group, said that the next step would be to launch perpetual contract services;

On December 11, OKEx announced the launch of perpetual contract trading. The first online contract was for BTC, with leverage up to 100x.

On December 24, gate.io launched the BTC/USD perpetual contract, and on January 10, it launched the TRX perpetual contract.

On December 26, MXC officially launched perpetual contract trading services for five currencies: BTC, ETH, EOS, BCH, and LTC.

On December 28, JEX announced that it would launch perpetual contracts and options contracts for large and small currency rights.

In addition, some trading platforms have also turned their attention to the stock market.

The so-called currency stock trading means that users can use digital currency (mainly the stable currency USDT) to directly buy and sell US stocks on the platform without opening an account or depositing US dollars.

According to 31QU, there are currently many platforms on the market that provide currency transactions, such as BISS in the currency market, HOX, Grand Slam, DX in the currency world, etc. Exchange reported online news in January this year.

“We are considering building a currency trading platform for two main reasons. First, investors are not optimistic about the currency market and the currencies in their hands have been replaced by stable currencies, but these users have investment needs; They are the people who buy and sell stocks. Although everyone has always wanted to buy U.S. stocks, the threshold for entering U.S. stocks is still relatively high," BMAN, head of BISS China, told 31QU that they hope to break this deadlock.

“For a trading platform, the most basic responsibility is to provide users with high-quality assets.”

BMAN said that in the bear market, ICO games have become unsustainable, and many counterfeit coins have returned to zero. . If you want to choose high-quality assets from the market, U.S. stocks are undoubtedly a good choice.

Stock trading business

In addition to providing more services for currency users in the bear market, currency trading also targets a market with huge imagination: involving huge stock users.

The high threshold is one of the reasons that prevents users from entering the US stock market.

It is understood that currently, if investors want to buy and sell U.S. stocks, they need to register and open an account, fill in the information, and review the information.

Among them, the most difficult thing is "converting U.S. dollars into gold." China has clear foreign exchange regulations in this regard, and through a series of cumbersome steps, most investors are blocked from the U.S. stock market.

“I tried to buy U.S. stocks myself, but there was a problem with binding the bank card, and I failed to buy in the end.” BMAN told 31QU that although U.S. stock assets are better than A-shares and crypto assets, due to Various obstacles prevent investors from entering the market.

“If it is through the currency and stock trading platform, users can directly use USDT to purchase U.S. stocks on the platform, which is convenient and fast.

"BMAN said that USDT is a stable currency anchored to the US dollar. Its price is relatively stable and can be accepted by domestic and foreign cryptocurrency exchanges. "It is also easy to implement."

According to BMAN's introduction, "BISS is The money market approach is for the team to open U.S. stock accounts overseas to help domestic investors buy and sell U.S. stocks. ”

In addition, “The opening time of U.S. stocks happens to be during the day in China, and users can buy U.S. stocks during this time.” Since Nasdaq itself has a high trading depth, when a user places an order, we can match it immediately and place orders on Nasdaq and the New York Stock Exchange at the same time. ”

For users, the cumbersome process of buying and selling U.S. stocks is simplified into the following three steps:

The steps for buying and selling U.S. stocks on the currency trading platform are simplified into three steps.

But it is worth noting that what investors buy on the platform are not actual stocks, but contracts for difference (CFDs).

According to the introduction of the BISS official website, “Essentially, it is between users and the platform. signed contract. "

If the user sells "stocks", the platform will also sell the corresponding stocks on Nasdaq/New York Stock Exchange, convert US dollars into USDT, and return it to the user's account. "Ensure that users Every time you buy a CFD, there is real money behind it. "BMAN said.

"According to the regulations of the US regulatory authorities, if you want to provide this kind of service to the citizens of this country, you must get a photo.

Regarding licenses, BISS will currently take some measures, such as restricting US citizens and local IDs. ”

BMAN stated that BISS Limited (Cayman) is currently an NFA-registered and licensed fund management institution with corresponding legal licenses.

In addition, there are currently no clear domestic regulations prohibiting currency stocks. Trading.

Will it become a mainstream method?

On January 4, DX.Exchange announced that it will be launched soon. The platform will tokenize the stocks of Nasdaq listed companies. Each token is linked to one share of common stock listed on Nasdaq, and token holders are entitled to receive the same cash dividends.

According to the introduction, the platform will provide the same benefits as AlphaBet (Google’s parent company). , Apple, Amazon, Microsoft, Tesla, Netflix, Baidu and Intel stock-linked tokens have now received licenses approved by the Estonian financial regulator.

However, on January 17, foreign media CCN published. The article pointed out that behind this platform is the notorious fraudulent platform SpotOption. The founder of the latter forged signatures and defrauded approximately US$68 million. He was convicted by an Israeli court in 2007. Another co-founder has been Covering up fraud.

In fact, the cryptocurrency trading industry, which has not yet been recognized by various countries, also has hidden risks.

In addition to legal currency entrance, there are also regulatory issues.

< p> “There are now many currency and stock trading platforms. As for whether there is a phenomenon of private lottery openings like private lottery, no one is sure. BMAN believes that currency and stock trading is still in a very early stage. In the absence of sound regulatory policies, “it still depends on the trading team.” ”

In addition, cryptocurrencies generally do not have legal status in various countries, and investors cannot obtain safety guarantees when buying cryptocurrencies and currency stocks.

“For example, China currently treats cryptocurrencies as Classified as a commodity, buying and selling U.S. stocks on the currency market BISS is actually buying a contract with a commodity. We don’t know what category this form will be included in. "

As a new way to explore in the cryptocurrency bear market, currency-stock trading is still in a very early stage. "In order to reassure investors, in addition to NFA, BISS is applying for financial licenses in Hong Kong and other places. ,” BMAN said, “The license that can be applied for is not specifically for currency and stock trading, it can only be said to be related to financial services. "The purpose is to dispel investors' concerns.

"According to our small-scale test, investors are still relatively willing to use USDT to buy U.S. stocks. ”

BMAN believes that “the current difficulty in successful currency and stock trading lies in user education. We need to tell new users why they can quickly buy US stocks on the currency and stock trading platform and what their protection is.” ”

The market is bleak and the frequency of user transactions has dropped significantly. Those exchanges that are directly affected are those that rely on transactions and charge user fees.

Especially those that only provide currency transactions. Cryptocurrency exchanges are even more affected.

Under such severe circumstances, some exchanges have begun to test the waters of currency and stock trading, attempting to break down global financial barriers and reach outside the currency circle by starting with cryptocurrencies. A bigger market - stock trading.

However, can such a method save the shrinking cryptocurrency trading performance? Related questions and answers: Which exchange can buy USDT and withdraw the currency immediately? OKEx is one of the digital currency exchanges with the largest trading volume. There is a direct lightning trading section in the OKEx exchange. It supports fast transactions of Tether (USDT), Bitcoin, etc., and you can buy coins with one click. , and even supports Alipay payment. It is very convenient for novices to use RMB to purchase digital currencies such as Bitcoin, Ethereum, USDT, etc.

USDT is Tether_SD, a token based on the stable value currency U.S. dollar (USD) launched by Tether. 1 USDT = 1 U.S. dollar. Users can use USDT and USD for 1:1 exchange at any time. Tether strictly adheres to the 1:1 reserve guarantee, that is, for every _SDT token issued, its bank account will have 1 US dollar of funds guaranteed. Users can conduct fund inquiries on the Tether platform to ensure transparency. Users can wire USD to a bank account provided by Tether via SWIFT, or exchange for USDT through an exchange. When redeeming USD, just do the reverse operation.