Bitget crypto derivatives exchange to list USDC as collateral for margin trading

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The Bitget derivatives exchange is poised to become one of the first exchanges to list USD Coin (USDC) as collateral for trading crypto derivatives.

The development is the result of a strategic collaboration between the Singaporean crypto derivatives trading service and the USDC Circle stablecoin issuer, as Crowdfund Insider reported on Monday.

Bitget will support USDC’s margin for Quanto Swap contract trading as part of the partnership, a move the exchange says will provide more liquidity to the market. USDC now joins Bitcoin (BTC), Ether (ETH), EOS, and XRP as accepted margins for Quanto Swap contracts.

Bitget launched Quanto Swap contracts in April, allowing traders to use one or more cryptocurrencies as margins for cross-currency transactions.

Quanto Swaps are said to solve the problems associated with reverse contracts as well as Tether Matched Contracts (USDT), especially in the area of ​​capital utilization and costs.

Since Quanto Swaps are cross-currency transactions with multiple margins, traders can switch markets without having to convert cryptocurrencies.

Collaboration with Circle would also expand Bitgets trading channels. The USDC will also be available for purchase on the exchange through debit and credit card payment channels, among others.

Related: Stablecoin Company Circle To Go Public In $ 4.5 Billion Blank Check Deal

Data from CoinMarketCap ranks Bitget as the eighth largest crypto derivatives exchange with a 24-hour volume of nearly $ 4 billion at the time of writing.

In March 2020, the platform began work to expand its reach in the United States, obtaining a license from the US Financial Crimes Enforcement Network. At the time, its 24-hour volume was around $ 1 billion.

The exchange was also on a list of platforms that have been granted a temporary exemption from the Singapore crypto exchange license regime.

In an interview with Cointelegraph earlier in July, Bitget CEO Sandra Lou said crypto exchanges must prioritize regulatory compliance. Indeed, financial regulators around the world are stepping up their oversight of stock markets as governments impose tighter policies.

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