The statement said: “CFE is not adding a Cboe Bitcoin (USD) (“XBT”) futures contract for trading in March 2019. CFE is assessing its approach with respect to how it plans to continue to offer digital asset derivatives for trading. While it considers its next steps, CFE does not currently intend to list additional XBT futures contracts for trading”.
Currently listed XBT futures contracts remain available for trading, the last contracts listed, XBTM19, will expire in June.
According to Investopedia, futures are “financial contracts obligating the buyer to purchase an asset or the seller to sell an asset, such as a physical commodity or a financial instrument, at a predetermined future date and price”.
Futures can be used to hedge or speculate on the price movement of an underlying asset.
In a statement at the time, CBOE said: “As an exchange-listed product, XBT futures provide a risk management tool for market participants seeking to hedge their underlying bitcoin holdings with a contract that settles directly to an underlying bitcoin auction price’.
Terry Duffy, CME Group Chairman and Chief Executive Officer said in 2017: “Given increasing client interest in the evolving cryptocurrency markets, we have decided to introduce a bitcoin futures contract. As the world’s largest regulated FX marketplace, CME Group is the natural home for this new vehicle that will provide investors with transparency, price discovery and risk transfer capabilities”.
CME Receives Approval From The Dutch Minister Of Finance To Operate In The Netherlands
According to a press release, CME announced today that its new legal entity CME Amsterdam B.V. has received approval from the Dutch Minister of Finance. The Amsterdam-based entity will ensure that CME Group’s BrokerTec and EBS venues and CME Regulatory Reporting services (formerly known as NEX Regulatory Reporting) can continue to service their European Union clients, regardless of the outcome of Brexit.