Malta-based cryptocurrency exchange OKEx has launched a new derivative product called Perpetual Swap trading, according to a press release shared with Cointelegraph Dec. 3.

Perpetual Swap is a peer-to-peer, virtual derivative developed by OKex, that enables users to speculate the direction of the price of digital assets. Its mechanism is reportedly very similar to a futures contract, but with no expiry and daily settlement. Each swap contract has a notional value of $100 Bitcoin (BTC) equivalent.

Per the release, the new derivative product allows users to perform perpetual swaps, futures contract, and spot trade with margin and leverage simultaneously. OKex will reportedly start Perpetual Swap trading on Dec. 11.

Contract trading allows users to purchase and sell digital currencies at predetermined prices at specified times in the future, giving investors and traders an opportunity to open both long and short positions.

OKEx Financial Market Director Lennix Lai noted that “we would like to remind our users that due to its highly leverage nature, implementing risk control strategies are equally crucial in trading.”

In October, OKEx delisted over 50 trading pairs with weak liquidity and trading volume. Later in November, the exchange announced it was delisting a second swathe of trading pairs due to “weak liquidity” in order to “create a robust trading environment and offer the best trading experience” for traders.

In late November, leading digital currency exchange Huobi launched the Huobi Derivative Market (Huobi DM), allowing its customers engage in cryptocurrency contract trading on both rising and falling cryptocurrency prices.

At press time, OKex is the world’s second largest cryptocurrency exchange in terms of adjusted daily trading volume, which is around $523 million, according to CoinMarketCap.