Binance to Launch 24/7 FX Perpetuals With Up to 100x Leverage on Dollar-Real Pair

Binance, the global cryptocurrency exchange, is set to introduce a foreign-exchange perpetual futures product that can be traded on weekends and holidays. The move expands trading beyond traditional FX market hours, allowing users to bet on exchange-rate swings or hedge risk when conventional currency markets are closed.

Binance said on September 18 that its first FX perpetual contract, USDBRLUSDT, will launch at 11 p.m. Korea time on September 21. The product tracks the exchange rate between the U.S. dollar and the Brazilian real, with margin posted and profit and loss settled in Tether's USDT. It will offer leverage of up to 100x.

Because the contract has no expiry, traders can keep positions open without having to roll them over. Investors can also trade moves in the dollar-real exchange rate without directly holding either currency. High leverage, however, can sharply amplify gains and losses even on small price moves.

The pricing method will differ depending on whether traditional FX markets are open. On weekdays, when the FX market is operating normally, Binance will calculate the index price using a weighted average of exchange rates from multiple external data providers. The index price will be updated every second.

On weekends and holidays, Binance will determine prices using its internal order book. It will apply an index-weighted moving average of bid and ask prices, allowing trading to continue even when external spot FX markets are closed. Binance plans to manage the risk of sharp volatility through multiple pricing sources, a market average pricing mechanism and limits on price deviations.

Shuneet Jan, Binance's head of derivatives, said the goal is to extend price discovery beyond the trading hours of traditional FX markets. Investors should be able to hedge currency risk or take directional positions at any time, he added.