Huobi Derivatives Volumes Hold Steady in Q3, Hit $2.6T in Two Years

However, quarter wise Huobi’s Q3 turnover dropped 40% from $444.15 billion in traded volumes recorded in the Q1.

Huobi Futures, the crypto derivatives market of Huobi Group, today said a total of more than $2.6 trillion has been traded on the platform over the last two years.

Trading volumes peaked at $268 billion in the third quarter this year, with an average daily trading volume reaching $2.9 billion, according to information revealed by the company. This figure was up by 135% when weighed against $197.9 billion exchanged hands on the rival OKEx’s platform.

However, quarter wise Huobi’s Q3 turnover dropped 40% from $444.15 billion in traded volumes recorded in the Q1, and it also saw a slight drop in the subsequent Q2 at $433.87 billion.

Entering Q4, Huobi said it outperformed OKEx in coin-margined futures trading volume in October and November, the statement noted, with a total traded volume of $66.2 billion and $124 billion, respectively.

In the first half of 2020, Huobi outperformed rivals in ETH trading volume, showing $120.2 billion versus $49.3 billion on OKEx, the Singapore-based exchange said.

As more sophisticated investors enter the crypto market, the notice reflects increasing investor interest in trading derivatives which let traders make bets on the price of cryptocurrencies without the need for actual delivery.

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Most major crypto venues are setting their sights on popular crypto derivatives offerings on the market, such as BitMEX. Binance, for example, has rolled out margin trading functionality, although it is starting with a conservative approach and capping leverage at 3x.

Huobi Is Expanding Aggressively

In the aggregate, growth in crypto derivatives trading volume is now outpacing that of spot trading. According to data analytics company, CryptoCompare, cryptocurrency derivatives trading volumes hit $619 billion for October relative to $635 billion in September and a record $712 billion set back in August 2020.

With the surge in derivatives trading, Huobi Futures has introduced bitcoin options to help traders hedge against risks like extreme market volatility. The roll-out of options product, quoted in dollar-backed stablecoin tether, came on the heels of Huobi Futures’ Perpetual Swaps earlier this year and aims to give traders more ways to create arbitrage and hedge risk in the crypto market.

Huobi has been expanding aggressively into trading services in many other jurisdictions around the world, including Malaysia, Argentina, Russia, Korea as well as setting up an office in London.

In addition to local branches, such as Huobi Argentina and Huobi (US), the exchange serves much of the rest of the world through its flagship exchange platform, Huobi Global.

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