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Traders Bet with Options on Bitcoin Hitting $100k by Sept 2021

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CoinTelegraph reports that with Bitcoin derivatives trading on the rise, one platform is letting traders bet on a $100,000 BTC by Sept 2021.

Cryptocurrency derivatives platform Deribit is letting traders bet on a $100,000 Bitcoin price — and within a certain period.

As of Thursday, Deribit users can bet on the flagship cryptocurrency reaching $100,000 via options contracts that expire on Sept. 24, 2021. The lofty strike price was established following a surge in daily trade volumes.

In options trading, a strike price is the value that a derivative contract can be bought or sold when it’s exercised.

Deribit processed 754,123 BTC options contracts in November, according to marketing material that appeared on Twitter Thursday.

Bitcoin extended its recent run to new record highs above $24,000 brushing off comments from the U.S. Treasury Department on Friday that it was proposing new regulations involving convertible virtual currencies.

The proposed regulation would require banks and other intermediaries to maintain records and submit reports to verify customer identities for certain transactions.

Analysts say that the threat of new crypto sector-focused regulations is a credible event which has negatively impacted crypto prices in the past, butthis time around there are a few reasons why the proposed rule probably will not lead to a Bitcoin price crash.

These worries were amplified when Circle CEO Jeremy Allaire said that the possible regulation could be detrimental to the entire cryptocurrency sector. The comments from the industry heavyweights led the entire industry to become cautious about the planned rule proposal.

However, recent reports suggest that the rule might require multiple transactions that are equivalent to $10,000 a day to be reported by financial institutions. Compared with the initial rumors about the rule, it is arguably less rigorous than it appeared.

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