CME launches Euro-denominated Bitcoin and Ether Futures

Sahana Kiran
Bitcoin
Source – Unsplash

CME Group’s BTC and Ethereum [ETH] futures contracts have been a huge success. However, this service was limited to the U.S Dollar. Now, sprucing up its hold over the futures market, CME Group rolled out Bitcoin Euro and Ether Euro futures.

In a recent blog post, the CME Group noted that Euro-denominated futures contracts would be sized at five BTC and 50 ether per contract. In addition to this, both the new contracts would be cash-settled. The contracts would further be based on the CME CF Bitcoin-Euro Reference Rate and CME CF Ether-Euro Reference Rate. It should be noted that these reference rates would serve as once-a-day rates for the Euro-denominated prices of the cryptocurrencies.

Speaking about the same, Tim McCourt, the Global Head of Equity and FX Products of CME Group said,

“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. Our new Bitcoin Euro and Ether Euro futures will provide institutional clients, both within and outside the U.S., with more precise and regulated tools to trade and hedge exposure to the two largest cryptocurrencies by market cap.”

Will CME’s new addition thrive amidst the gruesome bear market?

The crypto-verse has seen more downs than ups over the last couple of months. With the slew of failed projects along with the downfall of the entire market, the community went haywire. After witnessing a notable hike over the last couple of weeks, Bitcoin was brought down to its knees once again.

At press time, Bitcoin was trading for $19,968.57 after dropping down to $19520. However, the asset dipped by nearly 6 percent over the previous few days.

Despite this, the CME Group seems to be confident about its users employing its variety of pairs to trade the two largest cryptocurrencies.