It is backed and market maked by Bitcoin-Central (I'll refer to it as B-C), French-registered payment processor partnered with a bank which operates an bitcoin/euro exchange. The contract with MPEx stipulates it should "maintain at all times Bid and Ask offers" on MPEx.

Settlement

Details are outlined here. By default, no delivery is done and all X.EUR balances held on 15th continue for next month. Fixed Jan 16,2014: In practice it's more complicated. All X.EUR orders are cancelled and balances discarded on 15th, noon GMT. Then, after several hours, if you did not request delivery, all balances will be restored. Users then have to reissue any standing orders. For actual delivery of euros, you need verified B-C account. B-C asks a fixed fee of 5 EUR for this service per one settlement request.

For MPEx account holders: Send in advance delivery request signed by your GPG key same as used for MPEx, and encrypted by B-C public key. See DELIVERY PROCEDURE for details.

For CoinBr account holders: You need B-C account and 5 EUR fee applies as well. Send in advance to support@coinbr.com delivery request signed by your bitcoin address - it is listed in your Profile as "address to change your password". Please mention:

  • your B-C username
  • your CoinBr username
  • amount of X.EUR to be settled
  • date of settlement

UI for this function is under development. Upon accepting the request, shares will be removed from your account.

Trading considerations

Price of one X.EUR is directly related to expected price of euro expressed in bitcoins. If euro is expected to rise relative to BTC, X.EUR should be getting more expensive and vice versa. Exchanges usually show EUR/BTC rate the other way, and to convert it from X.EUR price is very simple: Rate = 1/price .

As the delivery is optional, everyone can buy and hold the future for several months, so take it into account when pricing.

For short trade, MKFUT MPEx command can't be used with this future. You have to talk to B-C about possible issuing of X.EUR against collateral in euros. Margin must be negotiated separately as well, on MPEx or elsewhere.