Cryptocurrency Derivatives Series: Is CME's Ethereum Futures Trading Mechanism Underway?

We have an array of derivatives markets for traditional asset classes, such as, from a range of stocks to mortgages, be it ETFs, index funds, index options or hedge funds, etc. Many Wall Street players are now, lined up for such contracts are being designed and developed for bitcoin and other crypto peers and desperately eyeing to obtain regulatory approvals. 

In the recent past, a couple of cryptocurrency firms have begun peddling“structured products” driven by the price of bitcoin. The payout from such modern-day contracts is absolutely dependant on complicated formulae. The entire crypto industry is still evolving, and the market is in the evolutionary phase.

CME Group has announced the latest update about CME CF Ether-Dollar Reference Rate & CME CF Ether-Dollar Real-Time Index. A couple of veterans predict the possibility of the firm introducing ether futures.

However, CME, at the moment, doesn’t seem to update on such possibility of ether futures but exclusively concentrated on the index and reference rate.

The CME clarified in the announcement that two predominant exchanges Bitstamp, Kraken and itBit which is the exchange unit of New York-based fintech firm Paxos, have fulfilled the criteria of participants in the indices. The firm, itBit may provide data for the financial instruments, to continue to act as the administrator of the indices.

Currency Strength Index: FxWirePro's hourly USD spot index was at -25 (mildly bearish), BTC is flashing at 98 (highly bearish), while articulating at (07:49 GMT). 

For more details on the index, please refer below weblink:

By Niranjan Patil
  • Market Data

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