CME will expand Bitcoin Future trading and introduce options

2022-01-10 区块链达人

For this reason, CME wants to expand its portfolio to give investors more opportunities. From the first quarter of 2020, the CME intends to offer options for the Bitcoin futures and thus expand its offering.

Options offer investors the opportunity to hedge their open positions in Bitcoin futures contract trading and are considered a more conservative way of trading. The introduction of the options is a logical consequence due to the increased demand of some large players and the increasing volume in equal measure.

These new products are designed to help institutions and professional traders to manage spot market bitcoin exposure, as well as hedge Bitcoin futures positions in a regulated exchange environment.

The CME not only wants to double the contract volume from 1,000 to 2,000 futures contracts per investor, but also to double the volume used from 5,000 Bitcoins (51 million dollars) to 10,000 Bitcoin (102 million dollars). CME is thus reacting to the new competition in futures contract trading from the Bakkt exchange. Bakkt is a new platform that will offer various assets (including Bitcoin futures trading) and will be operated by the Intercontinental Exchange (ICE), the world’s second largest exchange.

Author : Reynaldo