Monex Securities, a large Japanese corporation, today launched a CFD service for digital currency. For the first time, a major Japanese corporation offers online CFD encryption.

CFD is a type of derivative when the “buyer” of a contract “sells”, pays the difference between the current price of an asset and the price of that asset at a future date set in the contract.

According to a July 8 Monex announcement, CFDs are available for trading in bitcoins (BTC) / yen, ether (ETH) / yen, XRP / yen and Bitcoin cash (BCH) / yen. The leverage rate limit is 2x.

In an interview with Cointelegraph, Monex said it would consider adding new coins after evaluating “demand, liquidity risk, price volatility risk, and an encrypted blockchain network.”

The parent company also manages Monex Securities, Monex Group, Coincheck, and is one of the largest cryptocurrencies in Japan.

On May 1, the Japanese government introduced the revised Financial Instruments and Stock Exchanges Act (FIEL). In accordance with this new law, any business related to the offer of crypto derivatives should be registered as a business with financial instruments.

Monex Securities will introduce a new cryptographic derivative service as a financial instrument regulated by FIEL.

Source: CoinTelegraph