Luxor Technology Corporation and Bitnomial, Inc. have made a groundbreaking move by launching Luxor Bitcoin Hashrate Futures on Bitnomial's US-based derivatives exchange. This innovative product marks a significant milestone as the first Bitcoin mining derivative to be traded on a regulated exchange.

This launch is expected to bring substantial benefits to market participants, particularly miners and investors. By offering increased liquidity, transparent contract settlements, and reduced counterparty risk, the Luxor Bitcoin Hashrate Futures aim to revolutionize the way Bitcoin mining is conducted and hedged.

The hashrate futures contract, trading under the ticker $HUP, is available in a 1 PH contract size with monthly expiration. These futures rely on the settlement value derived from Luxor's Bitcoin Hashprice Index, a reference rate linked to hashrate, which is the foundation of Bitcoin mining.

Matt Williams, the Head of Derivatives at Luxor, emphasizes the importance of hashrate futures for the mining industry. "Hashrate Futures are the pinnacle of Bitcoin mining hedging products, one that Luxor first envisioned when we created the Hashprice Index in 2020. These contracts offer market participants the first fully-regulated Bitcoin mining derivative, and they will usher in a new era of hashrate trading that is more transparent, secure, and liquid," he stated.

The accessibility of these futures is a key factor in their success. Any participant with a Futures Commission Merchant (FCM) account on Bitnomial can trade these contracts, meeting the growing demand for crypto derivatives products.