Brave New Coin, a digital currency-focused research company, recently announced a new collaboration that will extend crypto options trading to investors in Canada, and beyond. The partnership is set to introduce a cash-settled product, enabling many investors to add digital currency assets to their portfolio.
BNC debuts crypto options trading on tFOSE in 2021
Following the recent announcement, the research company entered a partnership with one of the country’s derivatives trading house, tFOSE, fully known as the Toronto Futures Options Swaps Exchange. The derivatives marketplace, which is also a Clearinghouse, seeks regulatory approval from the country’s authorities at the moment.
Reportedly, institutional-grade digital currency products are not significantly available in the Canadian markets, which probably explains BNC’s decision to offer additional derivatives products for the investors in Canada. To enable the crypto options trading on the exchange, BNC will introduce a suite of digital currency indices for tFOSE.
The crypto options trading is scheduled to go live on the exchange by 2021, which is also subject to approval by regulators, as explained in the report. Meanwhile, starting with Litecoin (LTC), the crypto indices are expected to be completed within Q3 this year.
More exposure to crypto products
The planned crypto indices would allow the Canadian and global investors to trade the new derivatives product right from the exchange conveniently. Ultimately, the development is ideal for investors looking to diversify their portfolio with cryptocurrency investments, without necessarily holding the underlying digital currency, since it will be settled with cash.
While explaining BNC’s dedication to providing institutional-grade digital currency products, the CEO at BNC, Fran Strajnar, said in the announcement:
The crypto ecosystem is maturing, and demand for regulated investment products from institutional markets is growing. Our partnership with tFOSE furthers our role as a leader in market data, indices, and benchmarking for crypto assets.