The CBOE Digital, the Crypto arm of the Chicago Board of Options Exchange, hopes to roll a new product of bitcoin (BTC) futures later this month if regulators approved, the exchange Says on Monday.
The new trading vehicle, in collaboration with FTSE Russell, will be cash-settle and based on the XBTF index, which represents 1/10 the value of the FTSE Bitcoin index. It settles on the last business day of each month.
If the regulators approve the CBOE application, trading will begin on April 28, it said.
Futures are a type of derivatives in which the buyer and seller agree to trade an asset at a fixed price and date in the future. They are a popular vehicle to fence and manage risk and achieve trends and market behavior.
“This launch comes at an important time as demand for crypto exposure continues to grow and market participants are increasingly seeking more capital and versatile ways to achieve and manage that exposure,” said Catherine Clay, global leader of CBOE derivatives, in a statement.
In November 2023, CBOE became the first US regulated exchange to offer the same place and that -Leveraged Derivatives Trading on a single platform after it was received Approval From the CFTC to the list of margined bitcoin and ether (ETH) futures.
