• CME Group, one of the world’s biggest derivatives marketplaces, is expanding its Ethereum and bitcoin-based options across both standard and micro-sized contracts.
• The new contracts will be available every day from Monday through Friday of each week.
•The CME Group has achieved a record daily average national rate of more than $3 billion, suggesting that more and more individuals are seeing bitcoin and Ethereum as valid tools and additions to their portfolios.
CME Group Expands Ethereum & Bitcoin Options
CME Group in Chicago, one of the world’s biggest derivatives marketplaces, announced that it is expanding its Ethereum and bitcoin-based options across both standard and micro-sized contracts. The new contracts will be available every day from Monday through Friday of each week.
Contract Versatility & Precision
Giovanni Vicioso – the CME Group global head of cryptocurrency products – commented on the news saying: We are pleased to offer these new options contracts to provide market participants with greater precision and versatility in managing short-term bitcoin and ether price risk. Paul Eisma – head of options trading at XBTO – also shared his two cents on the matter saying: By completing the short end of the implied volatility surface with the addition of the new Tuesday [and] Thursday micro-options contracts and weekly standard-size contracts, institutional market makers such as XBTO can deliver precise liquidity to market participants of all sizes who trade and hedge cryptocurrency exposures spanning every business day of the upcoming week for the first time.
Record Rates Reached
The CME Group has achieved a record daily average national rate of more than $3 billion, suggesting that more and more individuals are seeing bitcoin and Ethereum as valid tools and additions to their portfolios. In addition, Q1 of 2023 saw more than 11,000 contracts which is an increase from previous months indicating a growing interest in digital assets from investors around the world.
Increased Volatility
With heightened volatility in digital asset markets, investors have been turning towards regulated venues like CME Group for reliable cryptocurrency risk management products that can help them protect against losses due to volatile prices changes or sudden dips in value. The introduction of all day expiries helps traders take advantage of immediate opportunities they see without having to wait until certain times before they can execute trades or strategies involving digital assets like Bitcoin or Etheruem .
Conclusion
CME’s decision to expand its suite of crypto related products reflects investors‘ confidence in digital asset markets as well as their desire for reliable ways to manage risks associated with these investments . With constant updates happening within this space , we expect that even more innovative solutions will become available soon!
