Cboe Global Markets, Inc. has announced an exciting development in the cryptocurrency space: the launch of Cboe FTSE Bitcoin Index futures. These new futures are based on the FTSE Bitcoin Reduced Value (1/10th) (Ticker: XBTF) Index, and are set to begin trading on the Cboe Futures Exchange, LLC (CFE) on April 28, 2025, pending regulatory approval.
This initiative marks a significant milestone as it is the first product to emerge from Cboeâs collaboration with FTSE Russell, aimed at fostering innovation in the digital assets market. The XBTF futures are designed to complement Cboe's existing suite of bitcoin derivatives, which includes options on the Cboe Bitcoin U.S. ETF Index (Tickers: CBTX, MBTX).
By offering both cash-settled futures and securities options related to bitcoin, Cboe intends to provide market participants with a comprehensive toolkit for executing trading and hedging strategies. Each product can serve as a valuable tool for managing bitcoin volatility, with the potential for more advanced trading strategies when used together. Cboe plans to clear these new futures through OCC, which also handles the CBTX and MBTX options.
âWeâre excited to expand our collaboration with FTSE Russell to help grow the digital assets markets through continued innovation,â said Catherine Clay, Global Head of Derivatives at Cboe.
The XBTF futures will be cash-settled contracts, settling in the afternoon on the last business day of each month. They will be based on the XBTF Index, developed in partnership with Digital Asset Research, representing 1/10th the value of the FTSE Bitcoin Index.
Shawn Creighton, Director at FTSE Russell, expressed enthusiasm for the collaboration, highlighting the importance of establishing industry standards for assessing digital assets and ensuring their market reflectivity.
Cboe has been expanding its digital asset offerings significantly, providing a wide array of products that enhance customer flexibility and choice. Recently, they launched the first cash-settled index options tied to the price of spot bitcoin, which has led to an influx of new ETFs utilizing these options for capped-risk exposure to bitcoin.
Moreover, Cboe offers margined bitcoin and ether futures, set to migrate to CFE in the second quarter of 2025, subject to regulatory review.
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