At the beginning of the year, the trading platform FTX Exchange launched a futures market so that people could bet on the U.S. election and created a futures contract token called TRUMP. On Friday, FTX revealed that the exchange is increasing the initial margin requirement for its TRUMP token contract to $0.50.
Individuals who do not live in the United States can use the trading platform FTX to participate in betting on the 2020 US presidential election. News.Bitcoin.com reported that FTX launched its TRUMP token futures contract in February, as our news desk also disclosed many other betting portals that use digital currencies to place bets on upcoming elections.
At that time, gambling websites and FTX’s TRUMP futures showed that Donald Trump was expected to win the 2020 election. However, on September 30, the latest report from our news desk showed that Joe Biden’s lead in gambling portals reached at least 60%.
On Friday, FTX announced some changes to the original TRUMP token futures market, and the exchange also offers the BIDEN futures market. FTX says:
[FTX Exchange will] increase [the] The initial margin requirement is $0.50, so you need $0.50 to short 1 TRUMP, or $0.36 (TRUMP’s current price) to long 1 TRUMP.
From the perspective of FTX’s two futures markets, traders expect Joe Biden to win the US election, and today’s percentage has exceeded 60%. At the time of issuance, the price of BIDEN futures tokens was between $0.62 and $0.64 (the probability of winning is 64%). At the same time, the price of TRUMP tokens is exchanged between $0.34 to $0.38 per unit (38% chance of winning), which means that the current support for Donald Trump’s victory is behind.
As stated in the original FTX TRUMP futures announcement, “[TRUMP] Is the FTX futures contract, [The token] If Donald Trump wins the 2020 US presidential election, the due fee is $1, otherwise it is $0. The latest announcement also pointed out that FTX also increased the “maintenance margin requirement to 0.40-0.10 US dollars” before the election.
On Friday, October 30th, a large number of polls showed that Joe Biden led the game. However, reports also show that Trump may actually lead the U.S. election.
“A few opposition pollsters believe that Trump’s support is insufficient and election analysts may be embarrassed again on election day,” Jonathan Easley of The Hill on Friday Write.
How do you think FTX Exchange will increase the initial margin requirement for TRUMP contracts to $0.50? Let us know your thoughts on this topic in the comments section below.
Picture Credits: Shutterstock, Pixabay, Wiki Commons, FTX Exchange TRUMP futures
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