Binance to Discontinue Leveraged Token Trading and Subscription Services

cryptonews.com:

Crypto exchange leader Binance announced on February 19 that it will discontinue support for leveraged trading of six tokens and subscription services.

According to an X post, these include BTCUP, BTCDOWN, ETHUP, ETHDOWN, BNBUP, and BNBDOWN paired with the USDT stablecoin.

Giving a timeframe for the discontinuance, the world’s largest crypto exchange stated that the support will end by February 28 at 06:00 (UTC).

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➡️@Binance announced the decision to end support for leveraged tokens paired with Tether (USDT) on Feb. 19.

➡️The leveraged tokens affected include BTCUP and BTCDOWN, ETHUP and ETHDOWN, and BNBUP and BNBDOWN.

Detailed timeline in attached image

(source –@binance ) pic.twitter.com/xQN7KckOPK

— Akshayy.nft (@akshayynft) February 19, 2024

According to an image shared, the final delisting of the affected leveraged tokens will be on April 3, 2024, by 6:00 (UTC).

The Binance exchange has not stated any reasons for the decision. Margin and regular leverage services will still be offered, however.

Self-leveraged tokens allow investors to make forecasts on the price movement of an asset. They are often leveraged versions of regular assets that enable investors to make high returns on their investments. Like all leveraged assets, however, investors can experience huge losses in a wrong forecast.

For context, in a self-leveraged BTCUP/USDT trade, investors can select ‘Buy’ to make a forecast that the price of the underlying leveraged token will rise and vice-versa.

Despite the removal of self-leveraged tokens, Binance Futures is ramping up margin-based trade options.

According to a blog post by the crypto exchange, it will be adding USDC-margined ORDI (Ordinals) Perpetual Contracts to its Futures platform.

#Binance Futures will