CME Bitcoin futures options outperform Bakkt with over $ 2 million in volume
The CME Group has joined Bakkt and FTX in launching Bitcoin futures options. The Group announced this on its website when trading began. Bitcoin futures options trading is now live on the Chicago Mercantile Exchange (CME). The offering went live yesterday, January 13, and trading began after receiving regulatory approval.
The CME Group announced this on its website when it began trading. According to the page, the Bitcoin futures options were created to meet customer demand. It states that this was done " in response to the growing interest in cryptocurrencies and customer demand for tools to manage Bitcoin exposure ." It also explains that the available options are based on the CME CF Bitcoin Regulated Rate (BRR). The launch took place around 15:00 PM UTC.
[amazon box="8423429717"]CME Bitcoin Options Day 1
The first day of CME Group Bitcoin options turned out to be interesting as the trade in its first session took out 54 options on day 1 alone. One of the options consists of 5 Bitcoin, which means that the total trade reached 270 Bitcoin .
It's interesting because 270 Bitcoin stands for roughly $ 2.18 million, which is way ahead of the numbers seen by competing platform Bakkt. In the past five days, Bakkt has only seen $ 1.1 million, less than half of the first day of the CME.
Bloomberg Intelligence analyst Mike McGlone believes, however, that these platforms probably shouldn't be judged exactly on how well they performed on their first one. According to him, the first weeks or first months should be considered instead.
Anticipating the options of Chicago Mercantile Exchange
The advantages of a market with Bitcoin option offerings are enormous. All Bitcoin products, whether derivatives or not, do a little more for the adoption of the king coin. This will eventually increase popularity and build trust.
McGlone also believes these deals are excellent for the market. The analyst said :
“The launch of listed options on futures is a significant step in the direction of increasing exposure to Bitcoin. Options are only launched and can be traded on a liquid underlying and the trend in BTC futures on the CME is to increase volume and open interest ”.
On the one hand, this is a clear sign that the Bitcoin options market will see stiff competition. However, it also means that there is more than enough space for more participants, to meet the growing demand.
