With an FTX account setup, you can now trade Bitcoin Hashrate Futures after you’ve deposited your desired amount of Bitcoin (BTC) on the exchange and converted it to USD through the conversion tool on the wallet page. Head over to the Hash tab when you’re ready to get started. Bitcoin Hashrate Futures are just like traditional futures but based on the hashrate produced by Miners around the world. As FTX describes it on the Hashrate Introductions page, Bitcoin Hashrate Futures are futures that expire to the average BTC mining difficulty over a period of time.  This means that they roughly represent the total hashpower being used to mine BTC.

In terms of functionality, Bitcoin Hashrate Futures operate just like any other Bitcoin, Ethereum, Tezos or even Dogecoin futures. You LONG or SHORT depending on whether you think price will move UP or DOWN. By keeping up with advancements in mining and mining activities, it’s possible to educate yourself and predict moves ahead of time based on various factors.

FTX Exchange is one of the first cryptocurrency exchanges to offer Bitcoin Hashrate Futures and are our top recommendation when deciding which exchange to trade on.

Bitcoin Hashrate Futures on FTX Exchange work on a calculation based off of the estimated number of terahashes (TH/s) per second the Bitcoin network is performing in the last 24 hours. The hashrate is essentially an indicator of strength and power which is brought up by Miners securing the Bitcoin network. 

Because mining is decentralized for the most part, it’s incredibly difficult for Bitcoin Hashrate Futures to be manipulated unless enough massive Miners come together and collectively decide to turn off their rigs. Because the blockchain is live and viewable by anybody with an internet connection, this event is unlikely.

Miners can now fire up their old rigs that weren’t profitable before the 2020 Bitcoin halving and can hedge against which direction they think the hashrate will go, at the same time contributing to the network themselves and earning rewards as a result. FTX have made old Miners profitable again with this latest addition to the platform. The 2020 Bitcoin halving caused a lot of Miners to shut down but they may be able to hold out longer if they use the tools FTX has provided.

Whether your Bitcoin Hashrate Future trade went your way or not, you may want to convert your USD balance back to BTC for withdrawal. Luckily FTX exchange make this just as simple as it was when you started. Go back to your Wallet, search “USD” and click “Convert”. If you wish to perform KYC and upgrade your identity status on FTX Exchange, you can even request a bank transfer into your own account if you’d rather keep everything in USD and not bother with cryptocurrencies at all.

Following the screenshot provided, ensure the conversion is from USD Stablecoins (USD) to Bitcoin (BTC). Enter the amount of USD you’d like to convert and click “Convert” to proceed. You can obviously convert your USD to a wide range of cryptocurrencies on the platform if you’d rather hold something other than Bitcoin.

Unless you’re trading, never keep your coins on an exchange for an extended period of time. FTX Exchange has proven itself over time to be an extremely trustworthy exchange, but it’s just best practice to be in control of your own funds at all times. To withdraw your Bitcoin (BTC) or whatever funds you converted your USD to, go to your Wallet and click “Withdraw” on your new balance. Bitcoin (BTC) can be safely stored using a software wallet like Exodus or a hardware wallet like a Ledger Nano X.

Enter the amount of Bitcoin (BTC) you’d like to withdraw in the text-box provided. Enjoy the fee-less withdrawals FTX Exchange offers and make sure the withdraw address you have entered is yours and is correct.

When you’re happy, click “Withdraw”. You may be asked for phone/email verification before a withdrawal can be processed.