BitMEX Unveils Memecoin Basket Index: Discover the Top 10 Memes

Full summary

• BitMEX has launched the MEMEMEXTUSDT basket index perpetual swap contract.
• The index tracks the top 10 memecoins by market capitalization.
• It offers traders exposure to multiple memecoins through a single contract.
• The index is rebalanced monthly to reflect the best performing memecoins.
• The contract offers up to 25x leverage and comes with USDT margin.

BitMEX, a leading cryptocurrency derivatives exchange, has launched a new product to capitalize on the growing popularity of memecoins.

On Thursday, July 4, the exchange launched the MEMEMEXTUSDT Basket Index perpetual swap contract, offering traders a unique way to gain exposure to the top 10 memecoins in the market through a single instrument.

This new product is designed to simplify memecoin trading by providing a comprehensive contract that works similarly to the S&P 500 Index, but for crypto memecoins.

The BitMEX Memecoin Basket Index is constructed as a price-weighted average of the top 10 memecoins by market cap, with constituents rebalanced monthly to ensure it continues to track the best-performing memecoins in this volatile sector.

BitMEX CEO Stephan Lutz explained the rationale behind the new offering:

“The MEMEMEXTUSDT perpetual swap allows traders to easily diversify their exposure to major memecoins and capitalize on the latest market trends, while effectively managing risk.”

This approach addresses the challenges traders face in navigating the often overwhelming and rapidly changing memecoin landscape.

The MEMEMEXTUSDT contract is a USDT-margined linear perpetual swap that offers up to 25x leverage. Its specifications include a -0.015% creation fee and a 0.075% support fee, with a base initial margin of 4.00% and a base maintenance margin of 2.00%. Each contract represents 0.0001 MEMEMEXT, with a lot size of 1,000.

One of the main benefits of this basket index is its potential to improve liquidity. By consolidating multiple memecoins into a single index, BitMEX aims to allow traders to execute their trades at more favorable prices. This feature could be particularly attractive to retail traders who are wary of the high volatility often associated with individual memecoins.

The launch of this product comes at a time when memecoins have seen significant growth and interest from the crypto community.

The current market capitalization of memecoins stands at approximately $42.5 billion, with the top 10 memecoins accounting for over $35 billion of that total. like Dogecoin, Shiba InuPepe, Dogwifhat and Bonk are among those included in the index.

To celebrate the launch, BitMEX is offering a prize pool of up to $10,000 in USDT to traders using the MEMEMEXTUSDT contract.

The exchange has set up three categories of rewards, including one for the top 400 traders who reach a minimum trading volume of $50,000, another for the top 10 traders from a top 50 ranking, and a third for verified users who deposit at least $1,000 and trade a minimum of $10,000.

The launch of this new product is part of BitMEX’s ongoing strategy to expand its trading product offering and meet evolving market demands. It follows other recent initiatives by the exchange, such as the introduction of BitMEX Options and a Bitcoin Perpetual Swap offering leverage of up to 250x.

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