January was CME’s second-best month for Bitcoin futures trading since its launch in 2017, with an average of 10,800 contracts, 69% more than the average daily volume in 2019. New options on Bitcoin futures also increased last month . Since launch, 466 options contracts, or 2,300 bitcoin equivalents, have been traded – nearly 40% as blocks, showing signs of institutional interest, CME said. It also saw a record monthly average of 56 large open interest holders (companies with more than 25 contracts).
The Chicago Mercantile Exchange (CME) launched its Bitcoin futures options last month, trading $ 2.3 million on the first day alone, marking the slow start of rival Bakkt exchange, operated by the New Yorkers’ parent company Exchange is headed, dwarfs the Intercontinental Exchange (ICE). Both platforms were launched with the intention of increasing institutional investments in cryptocurrencies and essentially trying to make trading digital assets more mainstream.
Bakkt, which was one of the most eagerly anticipated additions to the crypto world last year, has been hugely underutilized since its launch in September, especially when compared to CME. The strong start of CME futures options has helped revive the value of Bitcoin (BTC). After falling to $ 6,860 earlier this year, the world’s leading cryptocurrency bounced back and is currently staring at a 3-month high of over $ 10,200.
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CME also announced that it has had total trading volumes of over $ 100 billion since its launch in December 2017, which is an overwhelming confirmation of institutional interest in crypto trading. Tim McCourt, Group Managing Director of CME, also said the exchange operates the most liquid Bitcoin derivatives markets in the world, which is an indication of market maturity that institutions in general are looking out for and could be a factor in higher trading volumes going forward.
CME Group also announced today its Q4 earnings of $ 544.4 million, or $ 1.52 per share. Analysts had expected the company to earn $ 1.54 per share, while revenue for the quarter fell 8.1 percent to $ 1.14 billion from $ 1.24 billion a year ago.
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