Derivatives marketplace CME Group is set to expand its crypto derivatives suite in the near future by introducing a brand new Micro Bitcoin futures contract. The planned launch date for this new feature is currently said to be 3 May, pending review from regulators.
Set to be one-tenth of one regular bitcoin, this smaller-in-size Micro Bitcoin contract will aim to supply market participants with another tool with which to execute bitcoin exchange tactics or hedge the price risk of bitcoin in a more cost-effective and efficient way. The type of market participants targeted will range from active and sophisticated individual traders to institutions. The contract will simultaneously retain the same benefits and features of regular bitcoin futures.
Tim McCourt, CME Group Global Head of Equity Index and Alternative Investment Products, said:
Tim McCourt
Source: LinkedIn
“Since the launch of our Bitcoin futures contract in 2017, we have seen steady, ongoing growth of liquidity and market participation in our crypto derivatives, especially among institutional traders.
Micro Bitcoin futures will exist alongside CME Group’s already vast array of cryptocurrency derivatives, a suite of which is rapidly growing due to customer demand. The current suite included bitcoin options and futures, as well as recently introduced Ether futures.
