Nexo Introduces Bitcoin & Ethereum Futures, Expanding Its Derivatives Offering

In September 2025, Nexo launched crypto futures trading, starting with Bitcoin (BTC) and Ethereum (ETH), positioning itself against major players like Binance, Bybit, and OKX. While futures let traders profit from rising or falling markets, they carry significant risks due to leverage, margin calls, and the potential to lose more than the initial investment. Regulators such as the CFTC warn that derivatives are unsuitable for most retail investors, making this offering best suited for experienced traders or institutions seeking hedging strategies.

• What’s new: Nexo now offers cash-settled crypto futures, starting with BTC and ETH, to capture demand in the fast-growing derivatives sector.
• How it works: Futures let users go long or short without owning the underlying crypto, with leverage amplifying both profits and losses.
• Risks: Margin requirements, liquidation risks, and high volatility mean retail investors could lose entire deposits quickly.
• Who it’s for: Sophisticated traders and institutions, not casual or long-term investors.
• Why it matters: Futures now account for over half of global crypto trading volume, but most users face restrictions in the US and EU.

Digital asset platform Nexo has introduced crypto futures trading, starting with contracts tied to Bitcoin (BTC) and Ethereum (ETH). Announced in September 2025, the launch positions Nexo alongside major exchanges such as Binance, Bybit, and OKX, which already dominate the derivatives sector.

The company promotes the feature as a way for users to “profit as markets move up or down.” While true, this framing underplays the complexity of futures contracts. Unlike simply buying Bitcoin or Ethereum on the spot market, futures trading involves leverage, margin requirements, and the possibility of losing more than the initial investment.

Futures 101: How They Work

A futures contract is a binding agreement to buy or sell an asset at a predetermined price on a future date. In crypto, these contracts allow speculation on digital assets without direct ownership.

Traders can:

• Go long if they expect prices to rise.

• Go short if they expect prices to fall.

Nexo’s offering is cash-settled, meaning no physical Bitcoin or Ethereum changes hands at expiration. Instead, gains and losses are reflected in account balances.

Most futures platforms, including Nexo’s, offer leverage. For example, a trader might deposit $1,000 as margin to control a $5,000 position at 5x leverage. This amplifies potential profits, but also magnifies losses. If the market moves against the position, the platform can liquidate it to prevent further losses, often leaving the trader with nothing.

Who Should—and Shouldn’t—Trade Futures

Futures are not designed for the average investor. They are a specialized financial instrument best suited for market participants who understand derivatives and are comfortable with volatility.

Suitable for:

• Experienced traders familiar with margin and risk management.

• Active market participants who can monitor positions continuously.

• Institutions or individuals hedging existing crypto exposure.

Not suitable for:

• Casual investors or beginners.

• Long-term holders of Bitcoin or Ethereum.

• Anyone unwilling or unable to accept the risk of losing more than their initial deposit.

Key Risks and Regulatory Warnings

Futures trading is accompanied by significant risks that global regulators have repeatedly emphasized. The Commodity Futures Trading Commission (CFTC) in the United States cautions that derivatives are not appropriate for all investors.

The risks include leverage, which can multiply losses as easily as it magnifies profits, and liquidation, where even small adverse price movements can erase an account balance. The complexity of contract terms and expiration schedules adds to the difficulty, while crypto’s inherent volatility makes futures even more precarious than traditional derivatives.

Access is also a regulatory issue. Futures often fall under stricter legal frameworks, which means users in regions like the US and EU may face restrictions or outright exclusions.

Why Nexo Is Entering the Derivatives Market

Nexo’s move into futures reflects both market demand and competitive pressure. Derivatives already account for more than half of all global crypto trading volumes, according to CoinMarketCap. By offering futures, Nexo can diversify its revenue, appeal to a more sophisticated trading segment.

However, this move carries challenges. A significant portion of Nexo’s clients are retail investors, many of whom may not have the experience or risk tolerance required for futures. The company will likely need to provide clear education, risk disclosures, and safeguards to avoid exposing its user base to outsized losses.

Bottom Line

Nexo’s entry into crypto futures places it in direct competition with established derivatives exchanges. However, the risks of futures trading remain significant regardless of which platform offers them.

 Futures trading requires a solid understanding of derivatives and tolerance for volatility. While futures can serve as a valuable tool for hedging or active trading, they remain unsuitable for most retail participants.