The CME reportedly has no plans to launch a physically-settled bitcoin futures product, similar to the one Bakkt is offering investors.
According to Tim McCourt, the global head of equity index and alternative investment products at CME, the exchange has been seeing institutional interest in the cryptocurrency space grow, but its clients “need time to become familiar with the market and get approval to use new products.”
He added:
Since we launched bitcoin futures in December 2017, the number one demand from customers has been for options on our futures
The CME has recently revealed it plans on launching bitcoin options contracts in the first quarter of next year, based on “increasing client demand” in its bitcoin futures product. Per the firm, over 3,300 individual accounts traded the product so far this year, with on average almost 7,000 contracts being traded a day.
The Intercontinental Exchange’s cryptocurrency venture Bakkt, which offers physically-settled bitcoin futures contracts, has had a rather unsuccessful launch. As covered, it traded around $5.8 million worth of the flagship cryptocurrency in its first week.
Featured image by Stephen Dawson on Unsplash
