The world’s largest derivatives exchange, CME Group, is once again expanding its cryptocurrency product offerings, announcing the launch of futures for Cardano (ADA), Chainlink (LINK), and Stellar (XLM). These are seen by the market as an important milestone for these three cryptocurrencies on their path toward the ETF market.
These new contracts are expected to go live on February 9th and are currently awaiting regulatory approval. To meet the needs of both retail and institutional investors, CME will offer two contract specifications:
Cardano (ADA): Standard contract size is 100,000 coins, micro contracts are 10,000 coins;
Chainlink (LINK): Standard contract size is 5,000 coins, micro contracts are 250 coins;
Stellar (XLM): Standard contract size is 250,000 coins, micro contracts are 12,500 coins.
Giovanni Vicioso, Global Head of Cryptocurrency Products at CME, stated: “Due to the explosive growth of the crypto market over the past year, clients are actively seeking trusted, regulated products to hedge price risks. With these flexible contract designs, market participants will be able to allocate assets more efficiently with higher capital efficiency.”
CME’s decision to launch futures tied to these three tokens is undoubtedly a vote of confidence in its spot market’s “pricing transparency.” Historically, Bitcoin and Ethereum first established mature futures markets at CME before successfully opening the door to U.S. spot ETFs.
Currently, Cardano (ADA) has a market cap of approximately $14.5 billion, ranking as the 12th largest cryptocurrency; Chainlink (LINK), which provides oracle data services, has a market cap of about $9.8 billion; Stellar (XLM), focused on cross-border payments, has a market cap of around $7.4 billion.
Since launching Bitcoin futures in 2017, CME has laid the foundation for cryptocurrencies to enter mainstream financial markets. Its product line now includes futures and options on futures for Bitcoin, Ethereum, Ripple (XRP), and Solana (SOL).
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Expanding the cryptocurrency derivatives landscape: CME will launch futures for ADA, LINK, and XLM
The world’s largest derivatives exchange, CME Group, is once again expanding its cryptocurrency product offerings, announcing the launch of futures for Cardano (ADA), Chainlink (LINK), and Stellar (XLM). These are seen by the market as an important milestone for these three cryptocurrencies on their path toward the ETF market. These new contracts are expected to go live on February 9th and are currently awaiting regulatory approval. To meet the needs of both retail and institutional investors, CME will offer two contract specifications:
Giovanni Vicioso, Global Head of Cryptocurrency Products at CME, stated: “Due to the explosive growth of the crypto market over the past year, clients are actively seeking trusted, regulated products to hedge price risks. With these flexible contract designs, market participants will be able to allocate assets more efficiently with higher capital efficiency.” CME’s decision to launch futures tied to these three tokens is undoubtedly a vote of confidence in its spot market’s “pricing transparency.” Historically, Bitcoin and Ethereum first established mature futures markets at CME before successfully opening the door to U.S. spot ETFs. Currently, Cardano (ADA) has a market cap of approximately $14.5 billion, ranking as the 12th largest cryptocurrency; Chainlink (LINK), which provides oracle data services, has a market cap of about $9.8 billion; Stellar (XLM), focused on cross-border payments, has a market cap of around $7.4 billion. Since launching Bitcoin futures in 2017, CME has laid the foundation for cryptocurrencies to enter mainstream financial markets. Its product line now includes futures and options on futures for Bitcoin, Ethereum, Ripple (XRP), and Solana (SOL).