Delta Exchange, a Singapore-based cryptocurrency exchange company, has announced the launch of a Bitcoin (BTC) / Tether (USDT) contract, which allows users to trade BTC futures contracts with USDT guarantees, starting on April 14, 2020 at 9:00 am.
According to the company, the industry is experiencing a surge in demand for a stable digital currency amid fears of an economic recession.
Delta Exchange CEO, Pankaj Balani said that in the last three months, the exchange experienced an increase in demand for USDT upon completion of the BTC contract. He also stated “Black Thursday” was the main catalyst in increasing this demand:
“The market after the Black Thursday event has a tendency to be reluctant to take risks and we have seen a shift in traders’ preferences to hold the USDT over the BTC. This is increasingly important especially when the market is uncertain about the direction of prices in the short to medium term. Looking at demand and market conditions, we feel that this is the right time to offer a futures contract on this USDT. “Pankaj Balani, Delta Exchange CEO
The company had previously stopped trading this BTC Future due to lack of demand, but Balani reopened it and said that “things have changed” in the past 15 months, adding:
“In the Spot Market, we see USDT to be the dominant pair, it has already started from mid-2017. We see the same pattern also emerging in the derivatives segment. “Pankaj Balani, Delta Exchange CEO
Battle volume between BTC / USDT and BTC / USD
With this announcement, Balani hopes that BTC / USDT volumes will outperform BTC / USD volumes. He hopes that many traders will come to the cryptocurrency derivatives market from the conventional market.
More than that, Balani said the exchange, which offers quarterly futures contracts that were settled with the USDT, was thanks to a request they had found from institutional users.