Terry Duffy, the CEO of CME Group announced to the world of crypto enthusiasts on Monday that the world’s biggest derivatives trading platform is all set to welcome Bitcoin futures trading within the second week of December.
The past week has been highly volatile with the price of Bitcoin undergoing massive deviations followed by an increased number of miners showcasing an increasing interest towards Bitcoin Cash which helped the latter to topple over Ethereum as the second largest cryptocurrency when segregated as per market cap. ( Read full: Why Bitcoin Cash Price Is Increasing? Bitcoin Cash Price Up 30 % )
Duffy was quoted as saying,
“I think sometime in the second week in December you’ll see our contract out for listing,” during CNBC’s “Power Lunch.”
CME Group had initially announced that it was working closely with the Bitcoin plethora almost a year ago which was followed up by their latest announcement of launching Bitcoin futures by year end.
Once such futures get launched, investors and investment funds are expected to swarm in for making big bets weighing on this volatile cryptocurrency.
Duffy also added that CME is not planning to control Bitcoin’s inherent volatility. It would rather let the investors deal with its choppiness. “I am not trying to rein in the volatility of Bitcoin. I am trying to manage the risk of products,” Duffy said.
Starting from its November high of $7800, Bitcoin stumbled down the ladder to $5507 registering a loss of about $2000 in value. But such price movements could not stop Bitcoin from showcasing a growth figure of almost 500% since the beginning of this fiscal.
Compared to Bitcoin, Dow Jones Industrial Average has advanced by about 19% whereas the S&P 500 index has risen by about 16%. Several market experts pointed out that the cancellation of SegWit2x Hard Fork caused crypto investors to shift base to Bitcoin Cash which has a lower transaction cost when compared to the traditional Bitcoin. Had the fork occurred then the processing power of the resultant digital currency would have increased from 1MB to an absolute double. However, dwindling support towards the same caused the fork to get cancelled. The battle between Bitcoin And Bitcoin Cash still countinues.
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