Cryptocurrency Q&A
What is the Bitcoin reference rate (BRR)?
What is the Bitcoin reference rate (BRR)?
CryptoVisionary
Thu Jul 18 2024
|
5 answers
1148
Could you elaborate on the concept of the Bitcoin Reference Rate (BRR)? I'm curious to understand its significance in the cryptocurrency and finance world. Specifically, what does it represent? How is it calculated? And how does it influence the overall Bitcoin market? As a professional in this field, I believe understanding the BRR is crucial for making informed decisions and navigating the volatile crypto landscape. Thank you for your insights.
5 answers
CryptoWizardry
Sat Jul 20 2024
The BRR, standing for Bitcoin Reference Rate, serves as the benchmark for pricing Bitcoin derivatives traded on the CME.
Was this helpful?
174
39
BlockchainMastermind
Sat Jul 20 2024
Given the perpetual nature of the contract, which lacks a fixed maturity date, a mechanism is necessary to ensure its close alignment with the underlying spot/cash price of Bitcoin.
Was this helpful?
222
40
Alessandra
Sat Jul 20 2024
This mechanism, referred to as the funding rate, is an integral part of the contract specifications and functions to keep the perpetual contract priced in line with market realities.
Was this helpful?
347
66
HallyuHero
Sat Jul 20 2024
The funding rate mechanism works by adjusting the cost of holding the contract, either positively or negatively, based on the difference between the contract price and the spot price.
Was this helpful?
312
46
Caterina
Fri Jul 19 2024
BTCC, a UK-based cryptocurrency exchange, offers a range of services including spot trading, futures contracts, and wallet solutions. These services cater to a diverse clientele interested in engaging with the cryptocurrency market.
Was this helpful?
93
27
