Huobi Futures was rebranded recently to attract more investors into digital assets investments. The recent change from the Huobi derivatives might be a vital factor in the entry of distinct trading volumes coming into the company for the last two years. The company revealed that the Huobi Futures, a subsidiary of the leading group, has recorded more than $2.6 trillion in terms of trading over the digital asset trading platform.
The recent all-new high has shown that crypto trading has changed impressively over the past few years, and the volumes keep increasing signalling the dominance of institutional buyers in the crypto space, as opposed to previous retail buyers.
The third quarter marked the increase in trading volumes
The company reported a distinct increase in trading volumes around the third quarter of 2020. The third quarter had $268 billion in trading volumes, with an expected increase of almost $3 billion every day ever since the all-new high. When the recent volumes were compared to a competitor’s, OKEZ’s trading volume, the figure went up over 100%.
The competitor has a trading volume of $197.3 billion, a large difference from Huobi Futures. However, in terms of the company’s quarterly analysis, there was a large drop of 40% against the third quarter, when looking at the $444 billion the company recorded in the first quarter, likewise the second quarter with a similar fall with $433 billion in trading volumes.
The derivative also reveals that around the fourth quarter, it recorded higher volumes when compared to its primary competitor in terms of coin-margin, because according to the source, Huobi had a larger trading volume in the last two month. With October recording $66 billion in trading volumes, and with November, an impressive increase to over $100 billion in coin-margined futures.
Huobi tops performance in Ethereum trading
2020 has been a year of hitting new boundaries for Huobi as the exchange tops performance in Ethereum trading volumes with above $100 billion recorded and the closet rival with $50 billion in ETH trading.
Institutional investors have also shown an interesting preference for trading in derivative, causing the large trading volumes which exchanges are recording in the past few years.
The derivatives allow investors to make decisions based on their predictions, which can lead to a loss or a gain on their part. The increased demand resulted in investors eyeing crypto derivative platforms. It’s also safe to note that popular exchange, Binance, is looking into trading derivatives, but with some subtlety.
Other derivatives will benefit from the recent change in taste from spot trading into a more investor-friendly crypto derivative. Some statistics put up by Cryptocompare explained that the trading volumes of derivatives is over $600 billion for October alone, and increasing rapidly in the months after.
Investors are also going to benefit from the new Huobi Bitcoin option introduced to help create a form of stability against the price of the cryptocurrency.
The Singapore-based exchange is not slowing down, with its new expansion projects to make branches in significant parts of the world. The new expansion plans will hit Europe as well as Asia in a bid to create a bigger market.