CME Group Launches Euro-Based Bitcoin, Ethereum Futures

Derivatives marketplace CME Group had on Monday launched Bitcoin Euro and Ether Euro futures due to demand outside the US. The company previously said that euro-denominated cryptoassets are the second-highest traded fiat behind the US dollar. CME’s euro futures contracts are aimed at providing clients with more precise tools, it said.

CME Euro Bitcoin Futures, by popular demand

Tim McCourt, Global Head of Equity and FX Products, CME Group, said the decision to launch Euro products was based on strong growth in dollar-based futures. “The launch of these new futures contracts builds on the strong growth and deep liquidity we have seen in our existing US dollar-denominated Bitcoin and Ether futures contracts.” The Euro futures products will help clients with more precise and regulated tools to trade and secure exposure, he explained.

“Our new Bitcoin Euro and Ether Euro futures will provide institutional clients, both inside and outside the US, with more precise and regulated tools to trade and secure exposure to the two largest cryptocurrencies by market capitalization.”

CME said the new Bitcoin Euro and Ether Euro futures contracts will have a size of five bitcoin and 50 ether per contract. The new contracts will be cash settled based on the CME CF Bitcoin-Euro benchmark rate and the CME CF Ether-Euro benchmark rate. It will serve as once-a-day reference rates for the euro-denominated price of Bitcoin and Ether, the company said.

Expansion to outside the US

The launch of euro-denominated futures aligns with CME’s plans to expand crypto products beyond the US, as demand for regulated options increases. The product launch comes after CME futures saw record demand last quarter. The second quarter saw record growth in the form of average daily open interest of 106,200 contracts. While the quarter was also the second highest ever in terms of average daily volume, which stood at 57,400 contracts.

Anvesh reports on major developments around crypto adoption and price analysis. Having been associated with crypto since 2016, he is now a strong advocate of decentralized technologies. Follow Anvesh on Twitter at @AnveshReddyBTC and reach him at [email protected]

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