A new report by Business Insider on August 30th says that CBOE Global Markets, which is the owner of the Chicago Board Options Exchange (CBOE) and one of the world’s biggest exchange holding companies is planning to launch Ethereum futures trading.
According to sources familiar with the entire situation, CBOE is planning to launch ETH futures by the end of this year and will reportedly base its ETH futures on Gemini’s underlying market – just like it based the Bitcoin (BTC) futures on the New York-based crypto exchange run by the Winklevoss brothers.
The Bitcoin futures trading at CBOE began in December 2017. For those of you who don’t know, futures basically represent an agreement to buy and sell an asset on a specific future date and at a specific price. As such, they enable investors to speculate on the BTC price without having to own BTC. Therefore, Bitcoin futures are not just for physical assets – they can also be traded on financial assets.
Another person familiar with the situation told BI that the futures and options exchange is waiting on the Commodities Futures Trading Commission (CFTC) to give the project a kick-off date before its official launch.
Meanwhile, in July this year, another major US financial regulator – the Securities and Exchange Commission (SEC) – said that Ethereum was not a security. Then, the CBOE Global Markets president, Chris Concannon, said that the announcement “clears a key stumbling block for Ether futures, the case for which we’ve been considering since we launched the first Bitcoin futures in December 2017.”
The Chicago Mercantile Exchange (CME) is also known for its Bitcoin futures trading. Last month, they released a report which indicates that the BTC futures have increased by 93% in the Q2 of 2018 – compared to the Q1 of 2018.
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