Cryptocurrency futures have proven to be somewhat intriguing traditional trading vehicles. More specifically, they allow institutional investors to be exposed to cryptocurrency without buying Bitcoin directly. It now seems CME is looking toward the future by introducing Ethereum indexes. It’s an interesting development, although Ethereum futures contracts are not on the roadmap as of yet.
What is CME Cooking?
When CME, together with Cboe, announced the launch of Bitcoin futures contracts, there was some initial excitement among cryptocurrency enthusiasts. The concept has a lot of merit, as it theoretically allows institutional investors to pour money into cryptocurrency, albeit indirectly. Unfortunately, things have not gone according to plan, as overall institutional interest in Bitcoin futures has been lower than originally expected.
That doesn’t mean this investment vehicle isn’t an important development for the cryptocurrency industry. Month over month, the trading volume for both CME and Cboe futures is on the rise, which can only be considered a good thing. CME is now taking things to a whole new level by officially launching indexes for Ethereum. While they’re not the same as Ethereum futures contracts, the two concepts have a fair few similarities.
Two separate indexes have been created to track the Ethereum value at
Categories: Crypto Currency Portal