Cryptocurrency derivatives are fast becoming some of the most popular financial products. They allow investors to hedge spot trades, utilise leverage and speculate on market shifts. It’s perhaps unsurprising then that trading volumes have soared. In this article, we provide definitions and examples of the top cryptocurrency derivatives on the market. We also list the best exchanges and platforms alongside a guide to getting started for beginners.
Crypto Brokers in Australia
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- Coins: BCH, BTC, BTG, ETH, LTC, XRP, EOS, DASH
- Crypto Spread: BTC <1%, ETH 2%
- Min. deposit: $100
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- Crypto Spread: 0.05% BTC, 0.05% ETH
- Platforms: PXTrader 2.0, MT5, TradingCentral
- Min. deposit: $0
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- Crypto Spread: 17.3 (Bitcoin)
- Min. deposit: $0
- Regulator: ASIC, CySEC, FSA, FSCA, FSC, SCB, CMA-Kenya
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- Crypto Spread: 30 (BTC)
- Min. deposit: $0
73-89% of retail investor accounts lose money when trading CFDs -
- Crypto Spread: $12 (BTC)
- Platforms: MT4, MT5, TradingView, TradeLocker
- Min. deposit: $100
71.28% of retail traders lose money when trading CFDs -
- Crypto Spread: From 0.04%
- Platforms: MT4, MT5, cTrader, TradingView, DupliTrade
- Min. deposit: $0
Learn how we test brokers and why you can trust our ratings.
Here is a short overview of each broker's pros and cons
- AvaTrade 4.9/5 Regulated in five continents, AvaTrade offers a secure way to access crypto markets. There's a growing range of digital currencies including Bitcoin, Ethereum and Ripple, plus more unusually, a crypto index for diversified exposure. You can also access competitive crypto spreads in the broker's three platforms as well as 1:2 leverage.
- PrimeXBT 4.2/5 Traders can speculate on popular cryptos with commissions as low as 0.05% and high leverage up to 1:200. Additionally, the broker continues to improve its offering by introducing Crypto Futures, with 101 new tokens added in 2025, as well as trading contests with real prizes.
- FP Markets 4.2/5 FP Markets supports CFDs on popular cryptos including Bitcoin, Ethereum, Ripple, Bitcoin Cash, and Litecoin. Yet while you can speculate on price movements through CFDs, direct ownership of coins is not supported. FP Markets also doesn’t add up-and-coming tokens for crypto enthusiasts on the pulse.
- Pepperstone 4.8/5 Pepperstone continues to prove itself as one of the most trusted crypto CFD brokers. Although its selection of digital tokens is average, you can trade popular cryptos like Bitcoin and altcoins like Ripple with up to 1:10 leverage, while its crypto indices provide a holistic view of the digital currency markets not found on most day trading platforms. It has also launched a dedicated crypto exchange in Australia - Pepperstone Crypto.
- Eightcap 4.6/5 Eightcap’s crypto offering is best-in-class with 120+ crypto derivatives, surpassing that of almost every alternative. Testing also reveals Bitcoin spreads of 12 pips, coming in lower than most competitors. Add in convenient deposits and withdrawals in digital currencies, and Eightcap offers the complete package for serious crypto traders.
- Fusion Markets 4.6/5 Fusion Markets offers the best-known crypto tokens paired with USD, and up to 1:10 leverage depending on your location. Bitcoin spreads are competitive starting from 0.04%, while it shines for its top-notch charting tools in MT4, MT5, cTrader and TradingView.
Community Sentiment
See how users rate these brokers based on the average customer ratings submitted on DayTrading.com, plus ratings from Trustpilot, the Apple App Store and Google Play.
| Broker | Our Users' Rating | Trustpilot Score | Trustpilot Reviews | iOS App Rating | Android App Rating |
|---|---|---|---|---|---|
| AvaTrade | 13616 | ||||
| PrimeXBT | 415 | ||||
| FP Markets | 10366 | ||||
| Pepperstone | 3712 | ||||
| Eightcap | 3908 | ||||
| Fusion Markets | 10249 |
AvaTrade
AvaTrade offers active traders everything they need: an intuitive WebTrader, powerful AvaProtect risk management, a smooth 5-minute sign-up process, and dependable support you can rely on in fast-moving markets.
Jemma Grist, Reviewer
AvaTrade quick facts
- Coins
- BCH, BTC, BTG, ETH, LTC, XRP, EOS, DASH
- Crypto Mining
- ✘No
- Auto Market Maker
- ✘No
- Crypto Spread
- BTC <1%, ETH 2%
- Crypto Lending
- ✘No
- Crypto Staking
- ✘No
- Platforms
- WebTrader, AvaTradeGO, AvaOptions, AvaFutures, MT4, MT5, AlgoTrader, TradingView, TradingCentral, DupliTrade
- Minimum Deposit
- $100
- Regulator
- ASIC, CySEC, FSCA, ISA, CBI, JFSA, BVI, FSRA/ADGM, AFM, CMA-Kenya, CIRO (via Friedberg Direct)
- Account Currencies
- USD, EUR, GBP, CAD, AUD, ZAR
Pros
- The WebTrader excelled in our hands-on tests, sporting a user-friendly interface for beginners, complete with robust charting tools like 6 chart layouts and 60+ technical indicators.
- AvaFutures traders can now use TradingView for 100+ indicators, screeners and a calendar, the sharing of trade ideas, commissions from $0.45, intraday margins from $60, and access to exchanges like CME and EUREX.
- AvaTrade launched AvaFutures to offer low-margin access to global markets, then expanded in 2025 as one of the first brokers to add CME’s Micro Grain Futures.
Cons
- While signing up is a breeze, AvaTrade lacks an ECN account like Pepperstone or IC Markets, which provides the raw spreads and ultra-fast execution many day traders are looking for.
- AvaTrade’s WebTrader has improved, but work is still needed in terms of customizability – frustratingly widgets like market watch and watchlists can’t be hidden, moved, or resized.
- The AvaSocial app is good but not great – the look and feel, plus the navigation between finding strategy providers and account management needs upgrading to rival category leaders like eToro.
PrimeXBT
PrimeXBT is suited to aspiring traders looking for crypto derivatives alongside traditional markets like forex and indices, all tradable on an intuitive, web-based platform. The copy trading solution is also ideal for hands-off traders with 5-star ratings and performance graphs to help you find traders that align with your preferences and risk appetite.
William Berg, Reviewer
PrimeXBT quick facts
- Coins
- BTC, LTC, ETH, XRP, EOS, ADA, DOT, SOL, UNI, LINK, DOGE, BNB, ICP, SAND, PAXG, andmore
- Crypto Mining
- ✘No
- Auto Market Maker
- ✘No
- Crypto Spread
- 0.05% BTC, 0.05% ETH
- Crypto Lending
- ✘No
- Crypto Staking
- ✘No
- Platforms
- PXTrader 2.0, MT5, TradingCentral
- Minimum Deposit
- $0
- Regulator
- FSCA, FSC, FSA, CNAD
- Account Currencies
- USD, EUR, GBP
Pros
- Maker and taker fees of at 0.01% and 0.02%, respectively, for crypto futures contracts are highly competitive within the industry.
- PrimeXBT seriously bolstered its suite of Crypto Futures in 2025, now offering over 200 tokens spanning AI, NFTs, Metaverse, Layer 1 &2, and more.
- 24/7 customer support, available via live chat, proved excellent during testing, while the extensive help centre is perfect for self-help.
Cons
- Despite improvements like 7 metal additions, the around 350+ instruments still trails competitors, notably OKX with its 400+ assets.
- Support response times and the choice of channels could be improved to provide active traders with quicker, more comprehensive assistance.
- Although there's a wide selection of educational articles, including covering charting analysis for short-term strategies, there lacks more engaging and interactive resources like videos and quizzes.
FP Markets
FP Markets strikes an ideal balance between affordability and quality for active traders. They’ve managed to keep trading costs low while expanding their investment offering, charting tools, and research features, all while providing excellent support you can rely on for urgent trading queries.
Christian Harris, Reviewer
FP Markets quick facts
- Coins
- ADA, BCH, BTC, DOG, DOT, EOS, ETH, LNK, LTC, RPL, SOL, XLM
- Crypto Mining
- ✘No
- Auto Market Maker
- ✘No
- Crypto Spread
- 17.3 (Bitcoin)
- Crypto Lending
- ✘No
- Crypto Staking
- ✘No
- Platforms
- Iress, MT4, MT5, cTrader, TradingView, AutoChartist, TradingCentral
- Minimum Deposit
- $0
- Regulator
- ASIC, CySEC, FSA, FSCA, FSC, SCB, CMA-Kenya
- Account Currencies
- USD, EUR, GBP, CAD, AUD, NZD, JPY, CHF, HKD, SGD
Pros
- FP Markets offers a superb selection of tradable assets, especially since expanding its suite of commodities and supporting over 10,000 stocks.
- FP Markets has a seamless onboarding experience, standing out with crypto deposits and over 10 base currencies, catering to global traders.
- AI-powered sentiment analysis, trading signals and real-time NewsIQ research, integrated with MT4 and MT5, has been added via FP Markets Intelligence.
Cons
- While pricing in the Raw account is excellent, spreads in the Standard account trail the cheapest brokers with a 1.1-pip average spread on the EUR/USD compared to the 0.8-pip average at IC Markets.
- FP Markets trails the best MetaTrader brokers, despite offering a Trader's Toolbox on MT4, just 130 instruments are available, limiting opportunities for serious traders, especially compared to Pepperstone with its 1,300 assets.
- Although Traders Hub provides rich research, notably the Daily Report, Technical Report, Market Insights, and Fundamental Analysis, it needs to widen its daily content variety and keep its forex news updated to match category leaders like IG.
Pepperstone
Pepperstone stands out as a top choice for day trading, offering razor-sharp spreads, ultra-fast execution, and advanced charting platforms for experienced traders. New traders are also welcomed with no minimum deposit, extensive educational resources, and exceptional 24/5 support (18h a day on weekends). Pepperstone's comprehensive package, operating under ASIC regulation, makes them an obvious pick for traders in Australia, where it scooped DayTrading.com's 'Best Aus Broker' annual award for 2025.
Christian Harris, Reviewer
Pepperstone quick facts
- Coins
- BCH, BTC, ETH, LTC, DASH, ADA, LINK, DOGE, EOS, DOT, XRP, XLM, XTZ, UNI, BNB
- Crypto Mining
- ✘No
- Auto Market Maker
- ✘No
- Crypto Spread
- 30 (BTC)
- Crypto Lending
- ✘No
- Crypto Staking
- ✘No
- Platforms
- Pepperstone Trading Platform, MT4, MT5, cTrader, TradingView
- Minimum Deposit
- $0
- Regulator
- FCA, ASIC, CySEC, BaFin, DFSA, SCA, SCB, CMA-Kenya
- Account Currencies
- USD, EUR, GBP, CAD, AUD, NZD, JPY, CHF, HKD, SGD
Pros
- After adding spread betting through TradingView, Pepperstone provides a seamless, tax-efficient trading experience with advanced analysis tools for financial spread bettors in supported countries.
- Pepperstone has started providing trading in pre-IPO perpetual futures like SpaceX (SPCX.US-PERP) in select regions, such as the UAE.
- Pepperstone has greatly improved the deposit and withdrawal experience in recent years, adding Apple Pay and Google Pay in 2025, as well as PIX and SPEI for clients in Brazil and Mexico in 2024.
Cons
- Despite improvements to its range of markets, crypto CFD offerings are still fairly limited compared to other brokers who focus on this area, such as Eightcap, and there's no option to invest in real coins.
- Pepperstone has removed support for several tools that elevated the trading experience for active retail traders, notably Autochartist, Capitalise.ai and a free VPS for qualifying traders (now only pro traders in some countries).
- Execution may not feel as reliable in fast markets as headline speeds suggest. In our own testing, execution was fast at desired prices, but some community complaints focus on slippage, stop-loss fills and spread-sensitive order triggers during volatile conditions.
Eightcap
Eightcap delivers in every area for day traders with a growing selection of charting platforms, education via Labs, and AI-powered tools. Now sporting 120+ crypto CFDs, it's also become a stand-out choice for crypto trading, winning our 'Best Crypto Broker' award two years in a row.
Christian Harris, Reviewer
Eightcap quick facts
- Coins
- BTC, ETH, LTC, BCH, XRP, XMR, DSH, EOS, XLM, ADA, TRX, DOGE, BNB, DOT, MATIC, VET, AXS, NEO, SOL, UNI, AAVE, KSM, THETA, CAKE, SUSHI, ATOM, XTZ, SNX, COMP, FLOW, EGLD, PUNDIX, RAY, ZIL, QTUM, BAND, OMG, FIDA, BADGER, NEAR and many more
- Crypto Mining
- ✘No
- Auto Market Maker
- ✘No
- Crypto Spread
- $12 (BTC)
- Crypto Lending
- ✘No
- Crypto Staking
- ✘No
- Platforms
- MT4, MT5, TradingView, TradeLocker
- Minimum Deposit
- $100
- Regulator
- FCA, ASIC, CySEC, FSC, SCB, FSA
- Account Currencies
- USD, EUR, GBP, CAD, AUD, NZD, SGD
Pros
- Eightcap has brought in GOLD247 for 24/7 trading opportunities on a gold/USD CFD with leverage up to 1:20, minimum trade size of 0.01 lots, and no commission, appealing to weekend traders interested in the precious metal.
- After bolstering its roster in 2021, Eightcap offers one of the most extensive selections of cryptocurrency CFDs in the market, with crypto/fiat pairs, crypto/crypto pairs, plus crypto indices for broader exposure to the market.
- Eightcap added TradeLocker in 2026 for certain regions, marking it out as the best regulated TradeLocker broker, while still delivering Eightcap's ultra-fast execution and low fees for active traders on the charting software.
Cons
- Despite a useful library of educational guides and e-books in Labs, Eightcap still trails IG’s comprehensive toolkit for aspiring traders with its dedicated IG Academy app and 18 course categories.
- Eightcap needs to continue bolstering its suite of 800+ instruments to match category leaders like Blackbull Markets with its 26,000+ assets, featuring a particularly weak selection of commodities.
- In spite of an increasing variety of tools, Eightcap doesn't offer industry favorites like Autochartist or Trading Central, which offer cutting-edge charting analytics, live news, and market insights for short-term traders.
Fusion Markets
Fusion Markets is a standout option for forex traders looking for excellent pricing with spreads near zero, industry-low commissions and recently TradingView integration. It’s a particularly good broker for Australian traders where the company is headquartered and regulated by the ASIC.
Jemma Grist, Reviewer
Fusion Markets quick facts
- Coins
- BTC, BCH, ADA, ETH, LTC, EOS, XLM, DOT, LNK, AVAX, SOL, MATIC, DOGE, BNB
- Crypto Mining
- ✘No
- Auto Market Maker
- ✘No
- Crypto Spread
- From 0.04%
- Crypto Lending
- ✘No
- Crypto Staking
- ✘No
- Platforms
- MT4, MT5, cTrader, TradingView, DupliTrade
- Minimum Deposit
- $0
- Regulator
- ASIC, VFSC, FSA
- Account Currencies
- USD, EUR, GBP, CAD, AUD, NZD, JPY, CHF, HKD, SGD
Pros
- Withdrawal processing times have been slashed to under an hour and can be processed 24/7, making it faster and easier for active traders to withdraw any gains.
- The market analysis features, Market Buzz and Analyst Views, are great tools for discovering opportunities and conveniently integrated into the client dashboard.
- Fusion Markets offers best-in-class support with very fast, friendly and helpful responses during tests and no frustrating automated chatbot to navigate.
Cons
- Traders outside of Australia must sign up with weakly regulated global entities with limited safeguards, though in August 2026 they made negative balance protection available to all eligible accounts.
- Fusion Market trails alternatives, notably IG, in the education department with limited guides and live video sessions to upskill new traders.
- The demo account expires after 30 days, limiting its potential as a useful trading tool alongside a real-money account.
Cryptocurrency Derivatives Explained
The term ‘cryptocurrency derivative’ is an umbrella for a collection of different financial contracts that derive their value from the crypto they are based upon. A crucial characteristic of a derivative contract is that investors don’t own the underlying crypto, meaning an investor can speculate on the future value of Bitcoin, for example, without actually buying BTC and holding it in a wallet. The terms of a contract vary depending on the type of derivative.
Cryptocurrency-Related Derivatives
Futures & Options
Futures and options are contracts that allow a party to purchase an asset at a set price in the future. In a futures contract, there is an obligation to purchase at the agreed price, whereas an options contract gives the holder the choice.
Futures and options can be valuable cryptocurrency derivatives securities since the price agreed in the contract might not match the market price at the time. For example, if I enter into a futures contract to buy Bitcoin (BTC) at $40,000 in one month’s time, yet when the contract expires the market price is now $50,000, I can make a profit by reselling the Bitcoin at the new market price.
CFDs
CFDs are contracts for the difference in price between the buy and sell points.
For example, if I open a long position on Bitcoin with the price of $20,000 and the price rises, I will profit from any rise – but if the value falls to below $20,000 I would begin to make a loss on the trade.
They enable cryptocurrency derivatives traders to speculate on movements in price without purchasing the underlying asset.
In the world of cryptos, this is a useful advantage since there is no requirement to hold tokens in e-wallets.
High-profile crypto exchange hacks have meant that protecting your tokens from theft is vital. With CFDs, traders can benefit from the same market movements, but with reduced security issues. CFDs also allow traders to short the crypto market and speculate on decreases in the value of tokens, unlike the spot market.
Perpetual Swaps
Perpetual swap markets cover cryptocurrency derivatives that are similar to futures contracts, but with no expiry date. They are perpetual, in that they can be held indefinitely without an obligation to buy/sell.
The lack of an expiry date means that a contract price could easily diverge from the spot market price. The funding rate prevents this from happening by introducing a fee or rebate for holding a position, depending on whether they’re long or short. For example, if the perpetual swap contract is trading above the price of spot currency, the funding rate would be positive.
This means long position holders would have to pay short position holders, which encourages the opening of short positions and discourages long positions. When more short positions are opened, this will drive the price down to become more in line with the spot price. The same works in the opposite direction if the perpetual swap is below the spot value. Short traders would pay long, and the price of the swap would rise.
Market Analysis
The market for cryptocurrency derivatives is booming. A recent report by the Carnegie Mellon University of Bitmex, one of the largest exchanges in the industry, found that on average, volumes traded in the cryptocurrency derivatives market exceed that of the spot market by a factor of five.
It’s easy to see why they’re so popular. Cryptocurrency derivatives can be used to hedge against price movements in the spot market. So for every spot trade, there’s a multitude of derivatives that can complement and decrease the risk of downside. But, this is true of fiat derivatives too, so what makes crypto so special? The Carnegie Mellon study revealed that crypto traders tend to be active 24 hours a day, regardless of the timezone they’re in. Wall Street tends to trade between 9:30 am and 4:00 pm EST while crypto derivatives are being traded long into the night.
There are also fewer hoops to jump through when you’re looking to trade crypto. Many exchanges do not require identity checks (Know Your Customer or KYC checks). This means anyone with an email address and cash can trade, opening the market up to a larger customer base.
The 24-hour, unrestricted nature of blockchain has created a billowing derivatives market – and the action is unlikely to stop anytime soon.
Regulation
In the UK, the FCA has banned cryptocurrency derivatives, stating the volatility of the underlying asset as the reason. Despite this, buying and selling the underlying asset, the crypto tokens themselves, is still legal.
Many of the top cryptocurrency exchanges restrict derivatives trading for US citizens, in particular, Bitmex. Many of the top brokers have cited regulation as the reason for restrictions.
In Europe, there’s a lack of clarity about where cryptocurrencies sit in the current MiFID II regulation. However, it’s understood that trading on derivatives is acceptable and many of the biggest exchanges do accept European traders. The same is true of Canada, Australia, and beyond.
How To Start Trading Cryptocurrency Derivatives
To start trading cryptocurrency derivatives, you’ll first need to select a platform. Some of the top Bitcoin exchanges that offer derivatives include Bitmex. Kraken also has a separate platform that offers futures and options trading on cryptos.
When looking for the best exchanges, it’s important to consider the following factors:
- Leverage – In the case of Bitcoin, some of the exchanges above offer leverage up to 100x your initial deposit. For tokens with a lower market cap, leverage is usually less. Consider how much leverage you’ll require for your trading strategy. Remember that trading on margin increases the risk involved, which can result in losses beyond your deposit amount.
- Simulated trading – Many of the top exchanges offer the option to practice with a simulator or demo account. This can be a useful starting point for those new to trading cryptos.
- Security – When trading anything crypto related, it’s always important to consider the security of your investments. Look for an exchange that has never been hacked or prioritises the safety of client funds. Always ensure you have 2FA enabled on any account you hold, where possible.
- Regulation – Crypto derivative exchanges are not always held to the same standard of regulation as fiat currency brokers and they may not be registered with the same licensing bodies. Despite this, there are some indications that an exchange is legitimate. Look for those registered with the AUSTRAC in Australia, FINTRAC in Canada, or the FSA in Japan, for example.
Final Word
Trading crypto derivatives is increasingly popular – and it’s easy to see why. The ability to hedge, utilise leverage and trade 24/7 can be beneficial to a trading strategy. But globally, regulation is tightening due to the volatility of the crypto market itself. The next few years will be crucial for understanding the longevity of these financial assets.
FAQ
What Are Cryptocurrency Derivatives?
Cryptocurrency derivatives are financial contracts that derive their value from the cryptocurrency they are based on, such as Bitcoin. They allow traders to profit from price movements without owning the underlying asset. Examples of cryptocurrency derivatives include CFDs, futures and options.
Why Have The FCA Banned Cryptocurrency Derivatives?
The FCA has banned cryptocurrency derivatives for UK retail traders, due to the volatility of the market and the fact that a reliable valuation of a token’s price cannot easily be determined. Despite this, crypto trading on the spot market is still permitted.
Where Can I Trade Cryptocurrency Derivatives?
There are many brokers and exchanges globally that offer cryptocurrency derivatives trading. Some of the top brokers include Bitmex.
Why Would I Want To Trade Cryptocurrency Derivatives?
There are lots of reasons why crypto derivatives can be beneficial to your trading strategy. In particular, derivatives allow you to go long or short on a trade. In the spot market, you can only profit if the price goes up. However, when you open a short position using a derivative, you’ll profit from a decrease in price, allowing you to hedge your bets and manage risk.
Do I Need An E-Wallet For Cryptocurrency Derivatives Trading?
No – you don’t need to store your crypto derivatives in an e-wallet, unlike spot cryptocurrency. This is because a derivative is a contract with the exchange and there is no underlying asset to store.