Derivatives

Derivatives

Luxor Derivatives, is a suite of instruments geared towards investors and miners in the hashrate, bitcoin, compute power and energy space.

Benefits

  • Financial Protection: Hedge exposure to Bitcoin price, network difficulty, and transaction fees using a single product designed specifically for bitcoin mining and hosting companies.
  • Business Certainty: “Lock-in” hashprice and introduce certainty into business planning.
  • Facilitate Capital Access: Downside protection and hashprice certainty unlock new business models and facilitate access to capital.
  • Easy Settlement: Contracts are settled in US dollars, USDC, or Bitcoin without worrying about physical delivery of hashrate.
  • Increase Optionality: Provides non-physical exposure to hosting sites temporarily curtailing mining operations and miners trying to procure hashrate but dealing with long lead times.
  • Customization: Customizable contracts tailored to a miner, colocation, or hosting site's specific needs.
  • Non-Physical Exposure: Gain non-physical exposure to hashprice to generate alpha, without owning and operating physical mining assets.
  • Diversification: Diversify a portfolio into an emerging alternative asset class.