The Bitcoin Euro futures contracts and the Ether Euro futures contracts will each be scaled at 5 Bitcoin and 50 Ether to mirror their U.S. dollar-denominated equivalents, according to a press release by the marketplace on August 3. Using the CME CF Bitcoin-Euro Reference Rate and CME CF Ether-Euro Reference Rate, these new contracts will be cash settled, depending on the euro-denominated price of Bitcoin and Ethereum once a day. Since these new futures contracts will be listed on the CME, they will be subject to its regulations. Tim McCourt, Global Head of Equity and FX Products, CME Group, said:
Rising demand for non-USD crypto derivatives
In particular, the launch of euro-pegged futures contracts for Bitcoin and Ethereum is an attempt to meet the rising demand for regulated and robust non-USD cryptocurrency derivatives. Clients looking to hedge their risk or acquire exposure to the asset class may continue to access continuous liquidity, volume, and open interest via the CME Group’s cryptocurrency product suite. McCourt added: Interestingly, CME Group states that Q2 was a record quarter in terms of average daily open interest (106,200 contracts) and was the second highest quarter ever in terms of average daily volume (57,400 contracts) across all cryptocurrency products. In addition, Ether futures achieved a record average daily volume of 6,600 contracts in Q2, an increase of more than 27% compared to the first quarter. Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
