According to a blog post published on Feb. 5, the product is an option where the payoff is either a fixed monetary amount or nothing, that settles to the estimated next time that Bitcoin halves.
Explaining the new derivative contract LedgerX stated:
According to the current network conditions, the next halving block is estimated to be on May 25, 2020. Binary options are recognized traditionally as gambling since they are essentially a “yes/no” bet. The post notes that the uniqueness of Bitcoin in that “there is a fundamental economic risk that is binary.” LedgerX states: