The Chicago Mercantile Exchange (CME) Group has launched its Bitcoin options service. The CME has now joined a growing list of industry firms that are making Bitcoin options more accessible to the community.
The CME Group’s Bitcoin futures options page went live yesterday Jan. 13, at about 15:00 UTC. The page says that the organization floated the offering in response to significant interest in cryptocurrencies and demand from customers. People needed a platform they can use to manage their Bitcoin exposure.
For further specifics, one contract is worth 5 Bitcoin and the CME’s method is a central clearing system. The page also says that the value of the options is based on the regulated CME CF Bitcoin Reference Rate (BRR).
The Bitcoin derivatives market is constantly growing with a few new entrants in recent times. According to information from market analytics company Skew, daily volumes on Friday hit $20 billion on January 8. Also, the CME Group announced that its open interests for 2020 were already almost 70% what it pulled for 2019.
In December 2019, Bakkt launched its own Bitcoin options offering. On Sunday, Jan 12, FTX crypto derivatives platform also announced through its CEO that Bitcoin options were now available on the platform.
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