Crypto exchange firm ErisX has announced the launch of its Bitcoin (BTC) futures market. In a press release, the firm said that it would be starting with physically-settled Bitcoin futures contracts but suggested that others might follow sometime soon.
ErisX received approval from the United States Commodity Futures Trading Commission (CFTC) and will offer these Bitcoin futures contract together with its regular spot trading, which currently supports four assets.
ErisX CEO Thomas Chippas said that the team made a lot of progress in 2019, suggesting that it was only right to move forward with the offering.
“We met aggressive goals this year as we closed funding, strengthened the team, secured state-level money transmitter licenses, and also developed modern infrastructure…After the Commodity Futures Trading Commission (CFTC) granted us a Derivatives Clearing Organization (DCO) license this summer, we have been focused on our offering and are thrilled to be ending the year with the launch of our futures market.”
The ErisX website specifies that when it’s time for settlement the buyer of the futures contract will receive crypto, while the seller will receive US dollars. However, members are only welcome if they have $10,000 as a minimum balance.
The contracts will be traded via the company’s Designated Contract Market (DCM) with clearing handled by Eris Clearing, the company’s clearinghouse.
Image Credits: ErisX Medium