Cboe Poised to Offer More Crypto-Related Products

Chicago-based futures exchange Cboe said it might add more cryptocurrency-related futures and other products, adopting a position different from that of rival CME.

The Chicago Board Options Exchange (Cboe) has hinted it might add other cryptocurrency-related derivatives to its current Bitcoin futures. The latter were launched in mid-December 2017 and have enjoyed great success so far. The number of Bitcoin contracts traded on Cboe exceeds 6,000, which translates into tens of millions of US dollars.

According to its February report, Cboe’s futures trading volume reached almost 10 million contracts, which is 84.3% higher than the figure recorded in February 2017. Bitcoin futures made an important contribution to this growth.

Speaking at a Futures Industry Association conference in Florida on Wednesday, Cboe president Chris Concannon stated:

“The vision is to have a crypto complex. Digital currencies are here to stay.”

Concannon and Cboe CEO Ed Tilly, who was also present at the event, would not specify the digital currencies their company is considering. They stated that Cboe’s choice would depend on customer demand and talks with regulators. Besides crypto-related futures contracts, the company would like to provide clients with exchange-traded notes and funds, Tilly revealed.

Cboe had launched its Bitcoin futures about a week before Chicago-based CME, its key competitor in the futures exchange market, did the same. The two companies brought Bitcoin closer to professional investors on Wall Street, the result being that the cryptocurrency price went up.

However, CME does not seem to be interested in expanding its portfolio of crypto-related products. CEO Terry Duffy said in February he was in no hurry to add more cryptocurrency futures or other contracts.

Speaking at the same conference on Wednesday, CME COO Julie Holzrichter revealed that the exchange would like to see Bitcoin regulated.

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