USA regulator allows trading in Bitcoin related financial contracts

05 December, 2017, 02:11 | Author: Terri Saunders
  • USA regulator allows trading in Bitcoin related financial contracts

CME's nonmembers can trade the futures too, although they will be charged for higher service and exchange fees.

The price of bitcoin futures will be based on the price the digital currency is going for on four major bitcoin exchanges - Bitstamp, GDAX, itBit and Kraken. "We are committed to encouraging fairness and liquidity in bitcoin markets".

The price of bitcoin slumped 10.9 per cent from a record high of $US11,845 to $US10,550 before bouncing back to $US11,294 at 11am Perth time. CBOE's stock has run up 68% year to date, while the S&P 500 has gained 18%.

The launch of the first bitcoin futures contracts on a regulated USA exchange is expected to be a watershed moment for the cryptocurrency industry. The news comes after CME group announced last week that it would launch bitcoin futures on December 18. Its price has jumped more than tenfold this year.

USA regulator allows trading in Bitcoin related financial contracts
USA regulator allows trading in Bitcoin related financial contracts

The Chicago Mercantile Exchange (CME) has been beaten to the punch by the Chicago Board Options Exchange (CBOE) in bitcoin futures trading. The first bitcoin futures contracts on a regulated USA exchange are set to launch on Sunday.

"Given the unprecedented interest in bitcoin, it's vital we provide clients the trading tools to help them express their views and hedge their exposure".

CME and CBOE have also agreed to enter into data-sharing agreements, particularly on the settlement process, so the CFTC can conduct its own surveillance on the new financial contracts. Several media outlets have suggested that the Nasdaq Stock Market will also soon begin trading futures of the digital currency, but the exchange has not yet confirmed that.

The CBOE's announcement brings bitcoin one step closer to institutional traders, who are expected to be the primary customers for such trades.

Derrick Rose Back In Cleveland, Planning To Rejoin Cavs
Cavs General Manager Koby Altmas issued a statement saying that "this has been a very challenging and hard time for Derrick". In his absence, ESPN cited sources saying Rose was uncertain if he wanted to continue his career.


Recommended:



Popular

National Basketball Association suspends Shaun Livingston one game, referee gets a week
Any time a player makes contact with an official, an ejection and suspension are likely to be administered. Livingston, 32, has played 22 games for the Warriors this season, averaging 4.7 points and two assists.

Malta vehicle bomb: 8 arrested over murder of blogger Daphne Caruana Galizia
She died in the blast that wrecked her vehicle as she was leaving her house, throwing debris and body parts into a nearby field. Recently, Caruana Galizia's outspoken blog had turned its fire on opposition politicians. "The situation is desperate".

Trump Tells Moore To 'Go Get 'Em' In Phone Call
Trump's move runs counter to many other Republican leaders who have repudiated Moore and called on him to exit the race. "Obviously if he did not believe the women's accusations were credible, he would be down campaigning for Roy Moore ".

Public Health and You: National Influenza Vaccination Week is this week
The number of confirmed flu cases in Coconino County is slightly higher than over the last five years at this time. Also, the vaccine protects against other flu strains . "The best flu vaccine is the one that you get".

Strong cold front sends temperatures plunging — FIRST ALERT FORECAST
Snow is likely at low levels in Scotland on Thursday but to low levels in some southern parts of Britain on Friday ". Clouds thicken tonight , and a few showers are possible after midnight over north Alabama ahead of the Arctic front.

'House of Cards' Production: Final Season Shooting Resumes
In addition, Netflix will ramp up local-language productions, targeting 30 worldwide scripted series around the world in 2018. Many fans suggested moving forward with Robin Wright and that seems to be exactly the direction Netflix has chose to take.

Giants Could Fire Ben McAdoo After Week 13
McAdoo has made an admirable attempt to save face this week, but whether he can save his job is another matter. So, who do you think will be in line to replace McAdoo? " Eli and I have a tremendous relationship".

Unbelievable news for Man City's Raheem Sterling
PEP GUARDIOLA has warned his Manchester City players what they must get right against neighbours United. If people don't believe me, we should cancel our press conference.

Implosion of Pontiac Silverdome failed miserably, seen as metaphor of Lions' futility
The weather for Sunday is looking favorable for demoltion, but if it has to be rescheduled it will be pushed back one week. A total of 1,800 tons of rebar and 1,700 tons of structural steel will be recycled at the city's Ferrous Processing plant.

Ohtani won't sign with Yankees, BoSox
The Minnesota Twins, the only other team with at least $3 million in bonus money, also did not make the final cut. Ohtani must be signed by midnight on December 22, so we would expect this process to be finished fairly quickly.