- Bybit says its new fixed-payout contracts let users predict Bitcoin and Ethereum price movements.
- Users can choose among three contract formats and set their maximum risk before trading.
- The minimum position size is 5 USDT, with no leverage, margin calls or liquidations.
Cryptocurrency platform Bybit has launched Bybit Odds, a fixed-payout product tied to Bitcoin and Ethereum price movements that is now available through its website and mobile app. The product allows users to trade on future price direction while setting the potential payout and maximum risk before opening a position, without leverage or liquidation risk.
Bybit representatives disclosed the launch in a press release provided to Incrypted. Users can access the product through the exchange’s Bybit Odds trading page.
Three contract formats
Bybit Odds offers three contract formats linked to Bitcoin and Ethereum price movements. With an up/down contract, a user selects whether an asset’s price will be higher or lower at the end of a specified period.
A target-price contract requires the user to predict whether the price will exceed a specified level at expiry. A price-range contract lets the user determine whether the price will remain within a specified range or break out of it.
Contract durations range from five minutes to seven days. Before confirming a trade, users can view the potential payout and choose the amount to allocate in USDT.
The minimum position size is 5 USDT. The amount assigned to the contract represents the maximum amount the user can lose on that trade.
No margin calls or liquidations
Unlike leveraged trading, Bybit Odds does not impose margin requirements or liquidate positions, according to the company. Users therefore know the maximum possible loss on a contract in advance, regardless of later fluctuations in the underlying asset’s price.
The product is integrated with Bybit’s Unified Trading Account. Users can fund contracts with USDT held in their existing Bybit UTA without opening a separate account.
Institutional market makers provide liquidity for the contracts and also contribute to pricing on the platform, Bybit said.
Bybit positions Odds as an additional product alongside spot trading and derivatives. It is available to eligible Bybit users on the exchange’s website and mobile app.
Source: Incrypted
