CME Group to Start Offering Ether and Bitcoin Options

The Chicago Mercantile Exchange (CME) Group has reported it is starting to offer options on micro futures contracts of the two main cryptos, Ethereum (ETHUSD) and Bitcoin (BTCUSD). Every micro futures contract, according to CME, will be priced 1/10 of its underlying token. 

Like other futures options, trading of Ether and Bitcoin on CME will be available 24/7 on the exchange. 

When the news hit the market, the prices of both coins rose. Bitcoin climbed by about 6% 24 hours after the news was released, while Ether reported a 2% jump. 

Trade Ether and Bitcoin Options without a Crypto Wallet on CMC

CME’s new offer is giving retailers and institutional investors greater flexibility to join and participate in the crypto niche without risking so much money. Before revealing the new offer, the only crypto products available on CME were regular-sized Ether and Bitcoin futures contracts.

CMC also launched two new reference rates for Ether and Bitcoin and new micro products. 

The new reference rates, which offer daily benchmark prices for the tokens, are published at 4 p.m. (London time). 

One notable thing about CMC’s new products is that traders will not need to have separate crypto wallets to trade the new products. What they are required to do is open a trading account with a futures broker

The Rapidly Growing Infrastructure for Crypto Enthusiasts

Ether and Bitcoin options are part of the latest blockchain-tied products. In 2021, ProShares Bitcoin Strategy ETF (BITO) commenced trading. It was the first ETF linked to Bitcoin, but the number is growing fast as more hit the market. 

Interested crypto investors are waiting for the Securities Exchange Commission (SEC) to approve an ETF directly tied to Bitcoin. This will be different from the current products that track the future price of the crypto coin.

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