CHICAGO, March 30, 2021 /PRNewswire/ -- CME
Group, the world's leading and most diverse derivatives
marketplace, today announced it will expand its suite of crypto
derivatives with the introduction of a new Micro Bitcoin futures
contract on May 3, pending regulatory
review.
Micro Bitcoin futures will be one-tenth the size of one bitcoin.
The smaller-sized contract will provide market participants –
from institutions to sophisticated, active, individual traders –
with one more tool to hedge their spot bitcoin price risk or
execute bitcoin trading strategies in an efficient, cost-effective
way, all while retaining the features and benefits of CME Group's
standard Bitcoin futures.
"Since the launch of our Bitcoin futures contract in 2017, we
have seen steady, ongoing growth of liquidity and market
participation in our crypto derivatives, especially among
institutional traders," said Tim
McCourt, CME Group Global Head of Equity Index and
Alternative Investment Products. "The introduction of Micro Bitcoin
futures responds directly to demand for smaller-sized contracts
from a broad array of clients and will offer even more choice and
precision in how participants can trade regulated Bitcoin futures
in a transparent and efficient manner at CME Group."
Micro Bitcoin futures will join CME Group's growing suite of
cryptocurrency derivatives, including Bitcoin futures and
options and recently launched Ether futures. In 2021-to-date,
13,800 CME Bitcoin futures contracts (equivalent to about 69,000
bitcoin) have traded on average each day. In addition, CME Ether
futures have seen 767 contracts traded (equivalent to 38,400 ether)
on average each day since launched on February 8.
The new contract will be cash-settled, based on the CME CF
Bitcoin Reference Rate, which serves as a once-a-day reference rate
of the U.S. dollar price of bitcoin. Micro Bitcoin futures will be
listed on and subject to the rules of CME.
For more information on this product, please see:
www.cmegroup.com/microbitcoin.
As the world's leading and most diverse derivatives marketplace,
CME Group (www.cmegroup.com) enables clients to trade futures,
options, cash and OTC markets, optimize portfolios, and analyze
data – empowering market participants worldwide to efficiently
manage risk and capture opportunities. CME Group exchanges offer
the widest range of global benchmark products across all major
asset classes based on interest rates, equity
indexes, foreign exchange, energy, agricultural
products and metals. The company offers futures and
options on futures trading through the CME Globex® platform, fixed
income trading via BrokerTec and foreign exchange trading on the
EBS platform. In addition, it operates one of the world's leading
central counterparty clearing providers, CME Clearing. With a range
of pre- and post-trade products and services underpinning the
entire lifecycle of a trade, CME Group also offers optimization and
reconciliation services through TriOptima, and trade processing
services through Traiana.
CME Group, the Globe logo, CME, Chicago Mercantile Exchange,
Globex, and, E-mini are trademarks of Chicago Mercantile
Exchange Inc. CBOT and Chicago Board of Trade are trademarks of Board
of Trade of the City of Chicago,
Inc. NYMEX, New York Mercantile Exchange and ClearPort are
trademarks of New York Mercantile Exchange, Inc. COMEX is a
trademark of Commodity Exchange, Inc. BrokerTec, EBS, TriOptima,
and Traiana are trademarks of BrokerTec Europe LTD, EBS Group LTD,
TriOptima AB, and Traiana, Inc., respectively. Dow Jones, Dow Jones
Industrial Average, S&P 500 and S&P are service and/or
trademarks of Dow Jones Trademark Holdings LLC, Standard &
Poor's Financial Services LLC and S&P/Dow Jones Indices LLC, as
the case may be, and have been licensed for use by Chicago
Mercantile Exchange Inc. All other trademarks are the
property of their respective owners.
CME-G
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SOURCE CME Group