CME Group to Launch Event Contracts on Bitcoin Futures on March 13

Rhea-AI Summary

CME Group has announced the expansion of its event contracts to include Bitcoin futures, set to launch on March 13, pending regulatory approval. These contracts are designed to provide a transparent and lower-cost way for investors to engage with cryptocurrency markets, leveraging CME's regulated platform. Tim McCourt, Global Head of Equity and FX Products, highlighted their aim to simplify access to the volatile Bitcoin market, allowing investors to track daily price movements of Bitcoin futures. The contracts are valued at up to $20 per contract, offering clear profit and loss metrics for traders.

Positive

• Launch of Bitcoin futures event contracts enhances CME's product offerings.
• Offers a transparent and simplified trading mechanism for Bitcoin.
• Valued up to $20 per contract, providing clear risk parameters for traders.

Negative

• None.

CHICAGO, Feb. 14, 2023 /PRNewswire/ -- CME Group, the world's leading derivatives marketplace, today announced it will expand its suite of event contracts to include Bitcoin futures on March 13, pending regulatory review.  

"Our new event contracts on Bitcoin futures provide a highly transparent and less complex way for investors to access cryptocurrency markets – with the added benefit of a fully regulated platform," said Tim McCourt, Global Head of Equity and FX Products at CME Group. "These contracts, which track the daily price moves of our deeply liquid benchmark Bitcoin futures, offer an innovative, lower-cost way for investors to trade their views on the up or down price moves of bitcoin."

CME Group offers event contracts on a growing number of its benchmark futures markets, including gold, silver, copper, crude oil, natural gas, E-mini S&P 500, E-mini Nasdaq-100, E-mini Dow Jones Industrial Average, E-mini Russell 2000 and euro-U.S. dollar foreign exchange futures. Valued up to $20 per contract, these daily options on futures enable participants to know their maximum profit or loss when entering a trade.

For more information on this product, please see: www.cmegroup.com/eventcontracts.

As the world's leading derivatives marketplace, CME Group (www.cmegroup.com) enables clients to trade futures, options, cash and OTC markets, optimize portfolios, and analyze data – empowering market participants worldwide to efficiently manage risk and capture opportunities. CME Group exchanges offer the widest range of global benchmark products across all major asset classes based on interest rates, equity indexes, foreign exchange, energy, agricultural products and metals. The company offers futures and options on futures trading through the CME Globex platform, fixed income trading via BrokerTec and foreign exchange trading on the EBS platform. In addition, it operates one of the world's leading central counterparty clearing providers, CME Clearing.

CME Group, the Globe logo, CME, Chicago Mercantile Exchange, Globex, and, E-mini are trademarks of Chicago Mercantile Exchange Inc.  CBOT and Chicago Board of Trade are trademarks of Board of Trade of the City of Chicago, Inc.  NYMEX, New York Mercantile Exchange and ClearPort are trademarks of New York Mercantile Exchange, Inc.  COMEX is a trademark of Commodity Exchange, Inc. BrokerTec and EBS are trademarks of BrokerTec Europe LTD and EBS Group LTD, respectively. The S&P 500 Index is a product of S&P Dow Jones Indices LLC ("S&P DJI"). "S&P®", "S&P 500®", "SPY®", "SPX®", US 500 and The 500 are trademarks of Standard & Poor's Financial Services LLC; Dow Jones®, DJIA® and Dow Jones Industrial Average are service and/or trademarks of Dow Jones Trademark Holdings LLC. These trademarks have been licensed for use by Chicago Mercantile Exchange Inc. Futures contracts based on the S&P 500 Index are not sponsored, endorsed, marketed, or promoted by S&P DJI, and S&P DJI makes no representation regarding the advisability of investing in such products. All other trademarks are the property of their respective owners.

CME-G

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SOURCE CME Group

FAQ

When will CME launch Bitcoin futures event contracts?

CME will launch Bitcoin futures event contracts on March 13, 2023.

What is the primary benefit of CME's Bitcoin futures?

CME's Bitcoin futures provide a transparent and less complex way for investors to access cryptocurrency markets.

What is the value of the new Bitcoin futures contracts?

The Bitcoin futures contracts are valued up to $20 per contract.

Who is the spokesperson for the new Bitcoin futures at CME?

The spokesperson is Tim McCourt, the Global Head of Equity and FX Products at CME Group.

What regulatory step is needed before launching Bitcoin futures?

The launch of Bitcoin futures is pending regulatory review.