Derivatives marketplace CME Group had on Monday launched the Bitcoin Euro and Ether Euro futures. This is owing to the demand of the crypto assets outside U.S.
The company earlier said Euro-denominated crypto assets are second highest traded fiat behind the U.S. dollar. CME’s Euro futures contracts are aimed at providing clients with more precise tools.
According to the CME Group boss, Tim McCourt, the decision to launch Euro products was based on strong growth in Dollar based futures.
In his words, ”the launch of these new futures contracts builds on the strong growth and deep liquidity we have seen in our existing U.S. dollar-denominated Bitcoin and Ether futures contracts.”
‘‘The Euro futures products will help clients with more precise and regulated tools to trade and hedge exposure”, he explained.
Things to know About the Bitcoin Euro & Ether Euro Futures
CME said the new Bitcoin Euro and Ether Euro futures contracts will be sized at five bitcoin and 50 ether per contract.
The new contracts will be cash-settled based on the CME CF Bitcoin-Euro Reference rate and CME CF Ether-Euro reference rate. It will serve as once-a-day reference rates of the euro-denominated price of Bitcoin and Ether, the company said.
The launch of Euro denominated futures goes in line with CME’s plans to expand crypto products beyond the U.S., as demand grows for regulated options.
The product launch comes after the CME futures saw record demand in the last quarter. The second quarter saw a record growth in terms of average daily open interest at 106,200 contracts. Whereas the quarter was also the second highest ever in terms of average daily volume which stood at 57,400 contracts.
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