CME Group set to introduce options on bitcoin Friday futures in February
The launch represents the first CME Group cryptocurrency options to be financially settled.
The launch represents the first CME Group cryptocurrency options to be financially settled.
The rates will be published in tenors of one, three, six, and 12 months, confirmed the firm.
Service will enable buy-side participants to use existing OTC workflows on Digital Vega’s multi-bank platform to request quotes and trade blocks of FX options on futures.
New weekly futures contracts are sized at one fiftieth of a bitcoin and will be cash settled at 4pm EDT/EST every Friday.
The plan is to build a new private Google Cloud region to support CME Group’s global trading, offering derivatives traders access to “cloud-based, ultra-low-latency networking and high-performance computing”.
US corporate bonds began trading on 20 May, with the remaining products expected to be live by the end of next month.
Development builds upon CME Group’s launch of €STR futures in October 2022 as a complement to SOFR futures.
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Subject to regulatory approval, the new futures contracts will be based on the Bloomberg US corporate index and the Bloomberg US high yield very liquid index.
The options will be available on S&P 500 annual dividend index futures from 29 January.