New ‘market fear’ index lets traders bet on crypto volatility

COTI, a fintech startup with blockchain technology, has launched a new cryptocurrency index that allows traders to take advantage of market volatility.

The new Crypto Volatility Index (CVI) brings the traditional “market fear index” to the crypto market and enables users to deposit and open positions on Tether (UDST).

Gibraltar-based COTI stated that the new index will allow traders to open CVI positions for both high and low volatility. “Users who anticipate an increase in volatility can take a CVI position. If so, they can take profits by selling their position once the index rises, ”wrote COTI.

In contrast, traders who expect low volatility can provide liquidity to the platform. If this is correct, traders will benefit from the collection of fees paid by traders who have opened CVI positions.

CVI liquidity providers must deposit USDT for at least 72 hours, while CVI traders must hold an open position for at least 6 hours before selling or closing.

Users can link their accounts to major wallets such as MetaMask or Trust Wallet. COTI plans to add Ether (ETH) and COTI tokens (COTI) as deposit tokens in the near future.

With the launch of the CVI mainnet, users will also be able to deploy and remove GOVI which is the native governance token of the CVI index. With the token, users can earn platform fees and participate in voting.

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