CME Bitcoin Futures Reports Record Volume, Is Institution’s Interest Rising?

On February 8th, Bitcoin has been changing hands at $3,400 only to take a surge to $3,662 level. For the next ten days, the Bitcoin price oscillated around $3,600 level. However, this week, Bitcoin took a hike of 10 percent and nearly reached $4k mark.
In tandem with the surge in Bitcoin price, the volume of Bitcoin Future on CME also took a significant hike as CME Group reported on Twitter,
“Surge in bitcoin price leads to record BTC futures volume on February 19 with over 18K contracts traded.”

The contract unit of CME Bitcoin futures is 5 Bitcoin and at $4,000 per Bitcoin rate, this amount to $360 million. CME Bitcoin futures are off to a good start as it beats the last record set on November 20, 2018.
Since the launch of futures contracts on December 17th, 2018, CME Group has had more than 21,000 accounts trading the Bitcoin futures contracts. This investment vehicle provides the investors with an opportunity to bet on the future price of Bitcoin and go long or short on it.
However, the volume has yet again taken a dip as Bitcoin price didn’t surge further rather went red as it has been trading at $3,957 with 24-hours loss of 0.72 percent, at press time, according to the data provided by Coinmarketcap. Meanwhile, the daily trading volume managed by the leading cryptocurrency is at $7.4 billion which has been at its highest on February 19th at $9.9 billion.
CME Bitcoin futures expire on the last Friday of the contract month at 4:00 p.m. London time. This means today it.e. February 22nd is the last trade date for the CME Bitcoin Future contracts.
 
The post CME Bitcoin Futures Reports Record Volume, Is Institution’s Interest Rising? appeared first on Coingape.
Source: CoinGape

Bitcoin [BTC] Futures by the Chicago Mercantile Exchange Group reaches an all-time high in Q1 of 2019

Citing an internal e-mail, The Block reported that the Chicago Mercantile Exchange Group [CME Group] opened the doors for cryptocurrency investments and institutional investors in 2019 via its Bitcoin Futures.
Bitcoin Futures is a contract that will let customers bet on the future price of Bitcoin. CME Group first launched BTC futures in 2017 and according to the internal letter, the futures contract is taking off without a hitch. The internal e-mail read,
“Yesterday (Feb 19th) set a new record with 18,338 contracts traded, this is equivalent to 91,690 bitcoin or $360MN… Q1 2019 is off to a strong start, ADV has improved to 4,630 contracts (23,150 equivalent bitcoin), up ~13% from Q4 2018 while [open interest] rose to 4,076 contracts, an improvement of 21.5% over Q4 2018.”
In addition to the above, the CME Group has about 2,100 accounts and about 30 unique firms that have traded the contract. The e-mail stated,
“Institutional interest has gradually risen and the number of LOIHs (Large Open Interest Holders) has been holding steady around 43 holders since November. A LOIH is an entity that holds at least 25 BTC contracts.”
Further, CryptoCompare’s research for January 2019 shows a significant increase in the number of Bitcoin Futures contracts traded on CME when compared to its counterparts. The daily volumes increased by 20%, from $66.5M to $79.9M in January.
With the anticipation around the launch of Bakkt building up, it is expected that the prices of cryptocurrencies would shoot up. 2019 started with a rally, contrary to the general bearish trend that overtook the cryptocurrency market in 2018. In fact, the rally pushed the price of BTC to touch major resistance at $4000.
Another Bitcoin-related news that could affect the cryptoverse is the possible approval of the Bitcoin ETF proposal by the Securities and Exchange Commission [SEC].
The post Bitcoin [BTC] Futures by the Chicago Mercantile Exchange Group reaches an all-time high in Q1 of 2019 appeared first on AMBCrypto.
Source: AMB Crypto

Yet Another Bitcoin ETF submitted to SEC, But Mixed With Sovereign Debt and Bitcoin Futures

Submitted to the United States Securities and Exchange Commission on February 11, new bitcoin ETF by a subsidiary of Blockforce Capital is a new move. The newly filed proposal is called ‘Reality Shares Blockforce Global Currency Strategy ETF ’ which contains both – the sovereign debt instruments as well as Bitcoin futures.
ETF Beyond Bitcoin Futures
Reality Shares ETF is primarily a subsidiary of Blockforce capital, a US-based crypto firm. On Monday, the firm has filed a registration form with SEC to list its new ETF on NYSE Arca. According to the new proposal, the fund ’s portfolio involves futures traded on Cboe future exchange and the Chicago Mercantile Exchange. On top of these, it also includes sovereign debts and money market mutual funds.
The registration form reads that;
“The Fund expects to obtain exposure to Bitcoin Futures by investing up to 25% of its total assets, as measured at the end of every quarter of the Fund’s taxable year, in a wholly-owned and controlled Cayman Islands subsidiary. However, the Adviser will seek to limit the Subsidiary’s investment in Bitcoin Futures, so the Fund’s aggregate notional exposure to Bitcoin Futures is limited to 15% of the Fund’s net assets at the time of investment.”

Furthermore, the filing explains that out of 25 percent of its total assets, it would limit 15 percent of notional exposure to BTC allocation and on the other hand, 10 percent would be allocated to money market instruments.
15 [percent] of the Fund’s net assets representing notional exposure in Bitcoin Futures and (iii) 10 [percent] of the Fund’s net assets in Money Market Instruments for margin and/or cash management purposes, each as measured at the time of purchase (the ‘Target Portfolio’).”
What’s your stake on Reality Shares ETF filing with SEC? Do you think the proposal gets a green signal from regulators? Share your opinion with us. 
The post Yet Another Bitcoin ETF submitted to SEC, But Mixed With Sovereign Debt and Bitcoin Futures appeared first on Coingape.
Source: CoinGape

Bakkt Is Our ‘Moonshot Bet’ Says ICE CEO, Plans to Launch the Platform Later This Year

CoinSpeaker

Bakkt Is Our ‘Moonshot Bet’ Says ICE CEO, Plans to Launch the Platform Later This Year

ICE CEO Jeff Sprecher talked about how his team is working diligently for the launch of Bakkt and why he continues to hold utmost faith in Bitcoin.

Bakkt Is Our ‘Moonshot Bet’ Says ICE CEO, Plans to Launch the Platform Later This Year

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Source: CoinSpeaker

The Much-Anticipated Bakkt Platform Announces High-Ranking Vacancies

CoinSpeaker

The Much-Anticipated Bakkt Platform Announces High-Ranking Vacancies

The Bakkt platform is not letting multiple delays cringe their business strategies. They have announced vacant positions targeting to hire experienced and top-ranking executives.

The Much-Anticipated Bakkt Platform Announces High-Ranking Vacancies

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Source: CoinSpeaker

CBOE CEO Reveals What is Keeping Out Wall Street’s Billions From Cryptocurrency Market?

During the conference at a media luncheon on Jan 16, 2019, Ed Tilly, CEO of CBOE (Chicago Board Options Exchange) indicated what is hindering the Growth of Bitcoin Futures and keeping the Wall Street money out of the cryptocurrency market. According to him, Electronic Traded Notes (ETNs) is keeping out wall street’s billions.
Why ETNs are must for the success of Bitcoin Future?
Since Electronic Traded Notes can be denominated in smaller amounts, retail investors can easily access them. On the other hand, an institutional investor who would use Bitcoin futures needs to have a separate account set up to enter into the market. Tilly conveys the importance of ETN as the entry point for institutional investors. He says;
“The power of having that future there is also having an ETN that is more attractive to retail, and then institutions can lay off risk on the listed futures market”,
He asserted that both the products are critical to each other – it becomes a base for both market, wall street and main street. Nevertheless, he sees ETN is easily accessible to average investors and doesn’t have a higher barrier to enter into the market, whereas, Bitcoin futures would demand ‘significant amount of legwork’.
Absent that leg and introducing trackers or notes, I think we will be in this, ‘It trades every day, but it is not the story.
Govt. shutdown delaying the launch of Cryptocurrency products
He says that the regulators are always reluctant to approve ETNs and in tenure of a government closure, it is even more difficult to predict the launch of new products like Ether futures. Moreover, Coingape reported SEC’s latest order on freezing all pending proceeding doesn’t necessarily change the status of Bitcoin ETF Approval. Tilly says that ‘we cannot move for future products;
“I have two regulators that are not taking calls right now, that doesn’t mean there is nothing we are interested in. It means nothing is going to happen in this government shutdown.”
Furthermore, as far as the ETF’s are tied with the regulators, they’re left with a difficult question. With this he says;
“How do I protect the US customer from manipulation in a market that I don’t regulate?. You answer that question, you get your first ETN.”

The #ETF ’s Just Got Interesting, #SEC Freezing All Pending Proceedings As a Result of #GovtShutdown . Question is What happens to filed ETF’s in case SEC does not reply back before the deadline? @MatiGreenspan @APompliano @martin_schwarz @jchervinsky https://t.co/VzG16NtzRu
— CoinGape (@CoinGapeMedia) January 18, 2019

Regulators are Still Uncertain on Cryptocurrency regulations
The launch of first CBOE’s bitcoin futures in 2017 when the Bitcoin prices reached nearly $20000 was a historical entry and the open interest for the future counts 5306 contracts. However, after a year, the number of open interest declined to 3420 contracts. With this, Tilly also talks about the success behind CBOE’s Volatility Index (VIX) futures which significantly has 370,354 contracts in open network on Thursday, 17th Jan 2019. Consequently, he adds that there are a number of financial products in connection with the VIX contract.
“Why is VIX successful? Really calls upon the pool of liquidity in the S&P 500. Oh, and there is an institutional futures contract that is traded at the CME. There is a most successful ETF, SPDR. There are trackers and replicating notes that lever up that exposure. All of that works together.”
While appreciating VIX’s contract, he adds that the crypto market has also tried offering new financial products to the market but regulators are uncertain to approve. Tilly link the growth of bitcoin with the approval of ETFs by regulators however, we have seen SEC in the month of August 2018 has already rejected 9 ETFs including Winklevoss Bitcoin Trust.
 Seems like Govt. shutdown is affecting the crypto market and product launches are getting delayed. Further, the rumors that Trump might call for an emergency situation if true is not a very good sign for the cryptocurrency market. 
 
 
The post CBOE CEO Reveals What is Keeping Out Wall Street’s Billions From Cryptocurrency Market? appeared first on Coingape.
Source: CoinGape

Expert Opinion: Bitcoin Future Moves in Backwardation, No More Constantinople for Now

“This analysis is an adaptation from the work of Mati Greenspan, Senior Market Analyst at eToro”
Key Highlights:

Bitcoin Futures moving in backwardation
Bitcoin Outlook based on Futures looks meek but still safe
Ethereum’s Constantinople upgrade gets delayed once again.

Bitcoin futures move in backwardation but its still safe
One of the joys of having a futures market is the ability to understand what investors are thinking about the future of the price and CBOE Bitcoin futures have been doing that for the crypto investors. But the recent data from CBOE, is not a pleasing sight as according to it we may not be at the bottom yet and there is further downside expected. Below is the chart that shows the contracts for the bitcoin futures on the CBOE are currently in backwardation, meaning that contracts with a later expiration are trading consecutively lower.

While this sight could create nervousness on a normal day but recently, we had some incidences in other markets which prove that these signs from future markets are not always correct. In October, oil futures were trading in contango (opposite of backwardation), but there was a steep drop of over 30% in prices for oil in spot markets.
Ethereum still awaits its Constantinople moment
While all eyes were fixated at block #7080000 on Ethereum’s blockchain yesterday night, which was to bring in the much-awaited Constantinople upgrade, the core dev team announced a that the upgrade is postponed. In a statement, the Ethereum Core Developers and Ethereum Security Community said that they decided to postpone the hard fork after security researchers identified a potential vulnerability in one of the software upgrades. This led to the plunging of Ethereum price’s dropping moments after the announcement was made.

While there has been a bit of a recovery in prices this morning the event was really scary. While it was good that they caught the bug before going live but the fact that it came within 30 hours of the upgrade is a bit nerve-wracking. These things do happen, virtually all major platforms including Windows, Android, and Apple Operating systems, have seen critical bugs before. Though it would be possible to release a patch, fork the network again, and return to normal, that kind of process could in itself have done irreparable damage.
The post Expert Opinion: Bitcoin Future Moves in Backwardation, No More Constantinople for Now appeared first on Coingape.
Source: CoinGape

Cboe Bitcoin Futures Expiring Today, Will Bitcoin Rise Just Like in December?

The Bitcoin futures contracts by Cboe are expiring today. Last time on December 19 when Cboe’s bitcoin futures expired, Bitcoin went from 3,540 to $3,950. Will, Bitcoin see the similar effect this time as well?
Bitcoin Price Effect
Bitcoin is currently trading around $3,679 with a loss of 0.15 percent in past 24-hours as per the data provided on Coinmarketcap. The leading cryptocurrency is currently managing the daily trading volume of $5.5 billion.
Meanwhile, on Bitfinex exchange, Bitcoin is changing hands at $3,691 in comparison to the $3,630 on the majority of other exchanges.

Source: TradingView
While many analysts are predicting the Bitcoin bottom to hit in sometime around mid-2019, the market currently just might see more red or at least no greens.
The Bitcoin futures contracts of Cboe are expiring today. According to the data provided by Barchart, these contracts have 1 Bitcoin contract size.

Source: barchart.com
The upcoming dates for the Cboe bitcoin futures are here.

Source: cboe.com
As we can see in the data above, the prices are decreasing moving forward. About this, Gabor Gurbacs, the digital asset director at VanEck has this to say,

First launched on December 10 in 2017 as per the official website of the Cboe, under the ticker symbol XBT, these futures are cash settled. These settlements are based on digital asset company, Gemini’s auction price for Bitcoin.
If we take a look at the previous Cboe Bitcoin futures’ expiry data, on October 17, 2018, Bitcoin price took a slight downward shift from $6,580 to $6,540 (approximately). Then on November 14th, from $6,359, Bitcoin dropped to $5,790.
However, the most recent Cboe expiration has been on December 19, when price actually went up from $3,540 to $3,950.

Bitcoin price in December 2018, Source: Coinmarketcap
It is to be seen if Bitcoin will take a rise just like the last time. Or if it will follow the price movement of October and November and see a dip.
The post Cboe Bitcoin Futures Expiring Today, Will Bitcoin Rise Just Like in December? appeared first on Coingape.
Source: CoinGape

Thanks US Shutdown: Why Bakkt and Others Will Likely be Delayed

CoinSpeaker

Thanks US Shutdown: Why Bakkt and Others Will Likely be Delayed

The ongoing government shutdown achieved a new milestone on Friday by hitting the record for the longest shutdown in US history. While all the spheres are negatively affected, this has laso put key developments in the crypto space on hold.

Thanks US Shutdown: Why Bakkt and Others Will Likely be Delayed

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Source: CoinSpeaker

Nasdaq Hiring For Blockchain Developer Indicates Progress On Its Bitcoin Futures Plan

Nasdaq is working on its plan to launch bitcoin futures and, has recently posted a job opening on LinkedIn for senior software developer with a deep interest in Blockchain and Machine learning. This opening indicates that Nasdaq is working diligently and could be executing its crypto plans in time.
Nasdaq hiring for a division that provides a solution to capital markets
According to the job description put forward by Nasdaq, the exchange is looking for Senior Software Developer, who can design, develop, modify, adapt and implement solutions to the exchange’s information technology needs by means of new and existing applications, system architecture and application infrastructure.
The post also states that the candidate will be working for the “Enterprise Architecture and Innovation group in Boston” which focuses on cutting-edge technologies and solutions for the capital markets. This group is actively engaged in building solutions in blockchain and machine learning space.
Under the requirements section, the post speaks about the following:

A strong computer science background in algorithms, compilers and database systems. Deep interest and knowledge in Blockchain and Machine learning.
Experience in full stack development using NodeJs, ReactJs, and big data stores like MongoDB and Cassandra

Since, the vacancy is in the department which looks after the capital market solutions, in all probability it seems the hiring is for the project of bitcoin futures which the exchange had announced in November.
According to a representative from the investment management firm, Nasdaq had earlier announced its partnership with VanEck to launch cryptocurrency products, including derivatives.
In October 2018, the exchange had also announced Nasdaq’s Financial Framework will be integrated with Microsoft’s Azure blockchain to build a platform that does not rely on one particular distributed ledger.
The hiring looks a progressive step in Nasdaq crypto endeavors. With the top exchange slowly building its crypto army, is a positive sign for the complete eco-system. How and when these projects will be executed is something the community has to wait for.
Will Nasdaq open up more positions for blockchain and crypto positions? Do let us know your views on the same.
The post Nasdaq Hiring For Blockchain Developer Indicates Progress On Its Bitcoin Futures Plan appeared first on Coingape.
Source: CoinGape

Coinfloor Rebrands to Shake Up the Industry with Its Stablecoin and Physical Bitcoin Futures

CoinSpeaker

Coinfloor Rebrands to Shake Up the Industry with Its Stablecoin and Physical Bitcoin Futures

CoinfloorEX has been reorganized. A new entity called CoinFLEX will be based in Hong Kong and will offer trading of physical cryptocurrency futures on the Asian market.

Coinfloor Rebrands to Shake Up the Industry with Its Stablecoin and Physical Bitcoin Futures

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Source: CoinSpeaker

Coinfloor’s CoinFLEX Physical Bitcoin Futures Likely to Compete NYSE’s Bakkt

Back in March 2018, Coinfloor Exchange, one of the famous British cryptocurrency exchange had launched the ‘physically delivered cryptocurrency future exchange’ called CoinfloorEx. However, the recent report indicates that the firm is reforming the name of newly launched exchange from CoinfloorEx to CoinFLEX (Coin Futures and Lending Exchange).
CoinFLEX backed by Industry Leaders
The new exchange, CoinFLEX is backed by renowned names in crypto industry including Roger Ver (CEO of Bitcoin.com), Trading Technologies International, Inc., (Trading software solution firm), Mike Komaransky (Crypto Trader), Dragonfly Capital (an investment banking firm headquartered in Charlotte) and other consortium including B2C2, Global Advisors, Alameda Research, Amber AI and Grapefruit Trading. Besides these players, Coinfloor and their subsidiary companies are also major players. The team is all set and excited to work with these players.

Really excited to be working with the awesome team over at @B2C2Group ! https://t.co/vkgN6gCDOe
— Mark Lamb (@MarkDavidLamb) January 7, 2019

CoinFLEX is set to initiate future contracts for Bitcoin (BTC), Bitcoin Cash (BCH) and Etheruem (ETH) with leverage ration up to 20 times. According to Coinmarketcap, the crown cryptocurrency of the market, Bitcoin is presently trading at the value of $4,070.93, followed by Etherum which stands with $156.46. However, Bitcoin Cash stands at the top fourth position, valuing the total market cap of $2,930,332,502.

Competing With Intercontinental Exchange Inc’s Bakkt
By initiating the future market as the ‘physically delivered future contracts’, CoinFLEX is likely to face stern competition from Bakkt and probable criticism by considering Tether on its platform. To point, Bakkt is a Chicago based derivative market backed by NYSE which has also planned to launch its ‘physically delivered future contracts’ soon.
Nevertheless, the crypto market has few exchanges dealing with future contracts but CoinFLEX makes its offering unique by branding it as ‘the world’s first physically delivered crypto future exchange’. As remarked by Mark Lamb who is Coinfloor’s co-founder and will be heading Hong Kong’s CoinFLEX exchange as the chief executive officer;
‘The futures contracts on the CoinFLEX exchange will be physically delivered’, he said adding that;
“Crypto derivatives could become an order of magnitude larger than spot markets and the main thing that’s holding back that growth is the lack of physical delivery. Volumes are reduced because of a problem of trust when it comes to cash-settled trades.”
Moreover, the platform is eyeing on BitMEX exchange which is also based out in HongKong, offering leverage up to 100 times on its limited contracts. With regards to Lamb’s statement, owners of the contract can obtain cryptocurrency of the respective futures instead of a cash payment on the expiry of the contract. Certainly, the other market players offering futures service perceived ‘contract settlement in cash’ could be a manipulative act within the market.
So reader, what do you think about CoinFLEX? Share your opinion in the comment section below.
The post Coinfloor’s CoinFLEX Physical Bitcoin Futures Likely to Compete NYSE’s Bakkt appeared first on Coingape.
Source: CoinGape

Bakkt Raises a Whopping $182 Million Funds for Further Expansion

CoinSpeaker

Bakkt Raises a Whopping $182 Million Funds for Further Expansion

A group of 12 high-profile investors and partners have poured this large sum of money for the further development of the Bakkt infrastructure and its expansion.

Bakkt Raises a Whopping $182 Million Funds for Further Expansion

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Source: CoinSpeaker

After the Crypto Crash, Wall Street Bankers are Ready to Say Goodbye

CoinSpeaker

After the Crypto Crash, Wall Street Bankers are Ready to Say Goodbye

Established Wall Street companies slowed their already halting efforts to make a business out of crypto mania this year. They didn’t really give up, but most of them flinched as the value of virtual coins collapsed.

After the Crypto Crash, Wall Street Bankers are Ready to Say Goodbye

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Source: CoinSpeaker

Launch of ICE’s Bakkt Bitcoin Futures Platform Likely to Be Slightly Delayed

CoinSpeaker

Launch of ICE’s Bakkt Bitcoin Futures Platform Likely to Be Slightly Delayed

It seems that we’ll have to wait some more for Bakkt to get its Bitcoin futures contract approved. A new report claims that the CFTC’s decision-making process has been progressing slow regarding Bakkt’s Bitcoin futures contract.

Launch of ICE’s Bakkt Bitcoin Futures Platform Likely to Be Slightly Delayed

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Source: CoinSpeaker