Luxor Bitcoin Hashrate Futures Now Live On Bitnomial After Regulatory Approval

SEATTLE and CHICAGO, May 28, 2024 /PRNewswire/ -- Luxor Technology Corporation ("Luxor") and Bitnomial, Inc. ("Bitnomial") Hashrate Futures are now live on Bitnomial's US-based derivatives exchange. The launch marks the first-ever Bitcoin Mining derivative product to trade on a regulated exchange. Advancing the goals of Luxor's Hashrate Forwards, Hashrate Futures offer market participants increased liquidity, greater market transparency, and lower counterparty risk.

Luxor and Bitnomial designed this product to give miners an accessible tool to hedge their revenue, while also giving investors access to an exchange-traded derivative directly tied to Bitcoin mining hashrate. The Hashrate Futures trade under the ticker $HUP and have 1 petahash (PH) contract sizes for monthly durations. Luxor's Bitcoin Hashprice Index serves as the reference rate for settlement by tracking the value of hashrate, the digital commodity that underpins the derivative contracts.

"Hashrate Futures are the pinnacle of Bitcoin mining hedging products, one that Luxor first envisioned when we created the Hashprice Index in 2020. These contracts offer market participants the first fully-regulated Bitcoin mining derivative, and they will usher in a new era of hashrate trading that is more transparent, secure, and liquid," Luxor's Head of Derivatives, Matt Williams, said.

These Hashrate Futures contracts are available to anyone with a Futures Commission Merchant (FCM) account that connects to the Bitnomial exchange. Luxor has also established an Introducing Broker (IB) business that can assist firms with onboarding to these FCMs. Luxor and Bitnomial's Hashrate Futures are the latest in Luxor's suite of hashrate financial products, and the offering is the US exchange-listed counterpart to Luxor's physically delivered and non-deliverable Hashrate Forwards.

"We've seen unprecedented demand from the mining community for a futures product that's fungible with Luxor's spot and forwards offerings. Hashrate Futures provide bitcoin miners and institutional investors alike with a new method of hedging that has never before been available, as demand for new crypto-based derivatives products continues to grow," said Luke Hoersten, Founder and CEO of Bitnomial. "Additionally, the Hashrate Futures are fungible with Bitnomial physical Bitcoin Futures, enabling Hashrate to Bitcoin Futures spreads. These spreads allow participants to take returns in either USD or BTC, or isolate hashrate risk from Bitcoin price risk, enhancing Bitnomial's unique product offering. With this launch our Bitcoin Complex now includes Bitcoin Futures, Options, Deci Futures, and Hashrate Futures, creating the most comprehensive Bitcoin derivatives complex in the US market."

These Hashrate futures are a key addition to Bitnomial's Bitcoin Product Complex, which includes the physical bitcoin futures and options it currently offers. Bitnomial is unique in the Bitcoin derivatives space in that it offers physically-backed contracts, meaning traders can redeem them for bitcoin instead of fiat. According to exchange data, Bitnomial Bitcoin Futures volumes and open interest reached all-time highs during Q1 of 2024, demonstrating growing interest in physically-backed Bitcoin financial products.

To learn more about Hashrate Futures, please visit: https://bitnomial.com/exchange/products/hashrate-us-dollar-petahash-futures

About Luxor Technology Corporation

Luxor Technology Corporation is a Bitcoin mining software and services company that offers a suite of products catered toward the crypto mining and compute power industries. Luxor operates a Bitcoin Mining Pool, Hashrate Derivatives Desk, ASIC Trading Desk, ASIC Firmware, Bitcoin mining data platform (Hashrate Index), and Ordinal Hub.

If you are interested in contacting the Luxor Derivatives Desk, please email [email protected].

About Bitnomial, Inc.

Bitnomial, Inc. is a digital asset derivatives exchange company that operates a US CFTC regulated exchange (DCM), clearinghouse (DCO), and brokerage (FCM). Bitnomial offers the Bitcoin Complex^® comprising physically delivered Bitcoin Futures, Options, Deci Futures, and Hashrate Futures. 

Follow Bitnomial on LinkedIn, X, and please visit our website to learn more.

Media Contact: [email protected]  

Disclaimer

This content is for informational purposes only, you should not construe any such information or other material as legal, investment, financial, or other advice.

SOURCE Bitnomial Inc.