Cboe Global Markets is set to introduce margin futures for bitcoin and ether in January, marking a significant step in its commitment to cryptocurrency offerings. This move positions Cboe Digital as the first U.S. regulated crypto-native exchange and clearinghouse to facilitate both spot and leveraged derivatives trading on a unified platform, as announced on Monday.
The firm’s venture into cryptocurrency derivatives encompasses intentions to introduce physically delivered products, subject to regulatory clearances. Presently, Cboe facilitates spot futures trading for leading cryptocurrencies like bitcoin, bitcoin cash, ether, litecoin, and USDC.
John Palmer, President of Cboe Digital, emphasized the role of derivatives in enhancing liquidity and hedging opportunities within the crypto market. He stated, “We believe derivatives will foster additional liquidity and hedging opportunities in crypto and represent the next critical step in this market’s continued growth.”
The launch of margin futures is supported by a consortium of prominent crypto trading firms, including B2C2, BlockFills, CQG, Cumberland DRW, Jump Trading Group, Marex, StoneX Financial, Talos, tastytrade, Trading Technologies, and Wedbush. Chris Zuehlke, Global Head of Cumberland DRW, highlighted the importance of Cboe Digital’s secure access to regulated futures markets in maturing the nascent asset class and encouraging broader institutional participation.