Bitcoin Solutions for Futures Traders

Bitcoin Questions and AnswersCategory: General questionsBitcoin Solutions for Futures Traders

Gale Boetticher asked 11 months ago

Steven, I see you’re an ex-futures guy and long-time Bitcoin holder. I’m the same although I’m still in the futures biz.
Do you think there could be demand for a futures exchange that settles in Bitcoin instead of fiat? I’m trying to build one (see single-handedly. It’s still pretty rough right now and I’ve got a few beta testers kicking the tires a bit, looking for bugs.
I allocate money to commodity trading advisors and was thinking this site might be a way to discover young trading talent.
As an ex-futures trader yourself, I’d be curious to hear your thoughts on the idea.

2 Answers
Steven Hay answered 11 months ago

Hi Gale,
This sounds really interesting and I’d like to check it out and think about it. Unfortunately I’m sitting in an airport right now and their wifi is blocking your site. Once I’m back home, I’ll be sure to check out your site and consider the concept. I should have a proper response for you in about 24 hours.

Steven Hay answered 11 months ago

Hello again, Gale,
OK, I’ve checked out your site (and your r/Bitcoin thread, which seemed to get a lot of positive feedback) and I think you’re really onto something. It’s a unique and interesting service and I think it has legs… It reminds me a little of something which appeared on the darknet a few years back – basically a Bitcoin / stock exchange geared towards insider trading. I realise that’s not your intention but it seems to me that will nonetheless be a major use case for something like this…
My suggestion would be to seek legal advice before investing too much more into this. The location of your hosting, your terms and conditions page and other such details could turn out to be critical in the event of any future legal difficulties. The recent events in South Korea, where some finance ministry types were caught trading Bitcoin in advance of a market-moving announcement by their agency, probably brought some heat to the exchanges which took their trades. I could see something similar happening with insider trading of the futures on your exchange.

Bitcoin Video Crash Course 

Dummy-proof explainer videos enjoyed by over 100,000 students. One email a day for 7 days, short and educational, guaranteed.

We hate spam as much as you do. You can unsubscribe with one click.