FTX volatility tokens are available on Poloniex today! These volatility tokens, BVOL and IBVOL, are brand new from FTX and we’re excited to make them available for our customers as soon as they’ve launched.
BVOL and IBVOL are ERC-20 tokens that are issued by FTX and provide exposure to Bitcoin’s implied volatility as shown below:
- BVOL: 1X Long Bitcoin’s Implied Volatility
- IBVOL: 1X Short Bitcoin’s Implied Volatility
What are volatility tokens?
Volatility tokens are FTX’s newest offering for traders and were launched today! They are similar to other ERC-20 tokens in the sense that they can be traded, held, or transferred the same as any other token (though holding volatility tokens for long periods of time is not recommended). The main difference with volatility tokens is that they provide traders with exposure to the implied volatility of crypto assets.
There are currently two FTX volatility tokens: BVOL and IBVOL. BVOL aims to track the daily returns of being 1x long the implied volatility of BTC and IBVOL aims to track the daily returns of being 1x short the implied volatility of BTC. Learn more about these new tokens on our Help Center.
Please note: FTX’s volatility tokens are high-risk products that can gain or lose large amounts of their value in a day, will perform differently than other tradable assets, and will likely not sustain their target returns long-term. While volatility tokens can be helpful tools for traders, it is not recommended to hold these assets long-term. Use caution when trading these assets and only trade them if you understand how they work. Learn more about FTX’s volatility tokens on our Help Center.