OKX, the second-largest cryptocurrency exchange by trading volume has just launched a new feature called “Nitro Spreads”, a feature on its over-the-counter (OTC) institutional liquid marketplace allowing traders to make complex basis trades in one click.
On June 27, OKX took to Twitter to reveal its new feature to automate “basis trading”, into one click, leveraging the platform’s superior liquidity and low latency for maximum user benefit. In a nutshell, the new feature aims to provide institutional investors with an easier way to “trade the basis” and successfully navigate the market.
🥁 Fresh off the press for our institutional customers 🥁
📢 Introducing our latest feature, Nitro Spreads, makes executing complex basis trades more efficient and hassle-free!
One-click basis trades enabled ✔️
Available on #OKX Liquid Marketplace ⤵️
— OKX (@okx) June 27, 2023
For the uninitiated, Basis trading is an arbitrage between the price of an asset on the spot market and the futures market. If the price of the spot asset is higher or lower than the futures asset, the basis is the difference between the two.
It typically requires managing both spot and futures categories of the trade simultaneously, which can be tricky for traders. OKX’s Nitro Spreads automates this complex trade with a single click, enabling low latency for maximum user value and helping to mitigate unexpected price slippage.
How Will The New Feature Help Traders?
According to the official press release, Nitro Spread is one of the only basis trading tools in crypto where two legs of the trade are executed via a central order book. It further notes that before making the trade, traders can select a guaranteed spread, thus, reducing price slippage.
With the help of the new feature, traders can execute spread trades with a single click, ensuring “atomic” execution. In atomic execution both legs of trade are executed together as a single unit. This approach helps mitigate the risks associated with price slippage and leg-in risk that can occur when legs are executed separately. In the wake of the new product launch, Lennix Lai, OKX Global Chief Commercial Officer explained,
“In the current complex market environment, institutions demand reliability, predictable returns and genuine innovation when choosing a trading venue. This is especially true in basis trading, where precision is paramount. Nitro Spreads raises the bar for the industry for efficient basis trading, and we invite institutional traders everywhere to see how it can enhance their strategies and contribute to their success.”
OKX Is Redefining Decentralization
This comes hot on the heels after OKX extended its partnership with security firm CertiK, reassuring its commitment to fostering a decentralized free market. Recently, CertiK completed a security audit for OKX’s implementation of the BRC-20 token standard, marking a significant milestone in the crypto and blockchain industry, as it brings Ordinals to the Bitcoin blockchain.
Security first! 🔐
We've extended our partnership with blockchain security leader @CertiK 🤝
Our BRC-20 token contracts have passed a successful security audit, reaffirming our commitment to transparency and reliability.
Stay tuned for more updates!
— OKX (@okx) June 27, 2023
It seems OKX is reaffirming its dedication to Bitcoin (BTC) and is set to catalyze innovation in BRC-20 transaction indexing on the Bitcoin blockchain. In addition, earlier this year, OKX Wallet announced the launch of Cryptopedia, a Web3 learn-to-earn and airdrop platform. This new platform aims to help users easily identify and access Web3 projects and dApps. Cryptopedia will also enable users to unlock additional airdrops and gain extra rewards.
