CBOE Will Reportedly Launch Ethereum Futures Trading By The End Of 2018
CBOE Global Markets is the owner of Chicago Board Options Exchange (CBOE) and also one of the world’s largest exchange holding companies. Now, the company is looking to launch futures for Ethereum (ETH), according to Business Insider.
CBOE will base its ETH on Gemini’s market
Sources close to the situation have reported to the journal that CBOE Global Markets is planning to launch ETH futures by the end of this year.
CBOE will reportedly base its ETH futures on Gemini’s underlying market. If you remember, this is the operator that based its Bitcoin futures on the exchange which is run by the Winklevoss brothers.
CBOE launched BTC futures trading back in December 2017.
Futures are an agreement to buy and sell an asset on a specific future date and at a specific price while enabling investors to speculate on the BTC price without actually having town BTC.
BTC futures are not just for physical assets, but they can also be traded on financial assets.
Business Insider was also told that the futures and options exchange is waiting on the Commodities Futures Trading Commission (CFTC) to give the project the go-ahead before its official launch.
The SEC said back in June that Ethereum was not a security and CBOE Global Markets president Chris Concannon noted back then that “This announcement clears a key stumbling block for Ether futures, the case for which we’ve been considering since we launched the first Bitcoin futures in December 2017.”
BTC futures increased by 93%
In July, the Chicago Mercantile Exchange released a report on BTC futures average daily volume and said that it increased by 93% in Q2 over the Q1 of 2018.
The CME also said that the rate of open interest or the number of open contracts on BTC futures has gone past 2,4000 which means a 58% increase in Q1.
Andreas Townsend Author
I am a technical writer, author and blogger since 2005. An industry watcher that stays on top of the latest features, extremely passionate about finance news and everything related to crypto.