TL; DR Breakdown
- The hugest derivatives exchange, Chicago Merchantile Exchange, is working its way to introduce micro Ethereum futures on December 6.
- Micro futures are its way of assisting users in making smaller investments while reducing risks and costs significantly.
On October 2, Chicago Merchantile Exchange (CME) expressed its wishes to introduce micro Ether futures on its platform this year at the beginning of December. CME stands as the most prominent derivatives exchange for both stocks and crypto. The Ethereum micro futures products will sort out 10% of one Ether.
The announcement led to Ethereum prices breaching a new all-time high, meaning to cross the $4500 mark. The actual launch might trigger a further positive price action by the top altcoin, valued at over $500 billion now.
Its primary objective of listing the products is to expand its services for its users for more convenience. After all, it recognizes the variety of investors leveraging its services and their difference in preferences. The micro Ethereum-based futures will lower costs with a considerable increase in efficiency while trading Ethereum.
There are macro Ethereum futures on the platform currently, which users can still benefit from. The platform assures that all types of traders, whether institutional or retail, can utilize the upcoming feature.
CME micro Bitcoin futures
Mid-year, CME launched micro bitcoin futures, offering similar options for Bitcoin enthusiasts as the upcoming micro Ether futures. As per its description, CME assures its users that anyone Bitcoin enthusiast wishing to engage in smaller BTC investments can leverage its functional ecosystem.
Furthermore, CME presents itself as a trusted crypto service provider. In its opinion, its micro futures are a way further spreading digital asset popularity among new actors in the market. In a significant way, it will contribute to the much-needed adoption that crypto is still hassling to get.
All investors can rest easy with CME’s risk management strategies to avoid significant losses tied to trading futures. Besides the micro futures, CME also integrated Bitcoin futures, Ether futures, and Bitcoin futures options. These steps are among the undeniable reasons why both currencies hit off to a good start at the beginning of the year.
A steady rise
Institutional investors have taken a liking to futures products, seeing notable Wall Street companies engage with them. CME futures products are also on a steady rise as the platform claims more investors as days go by. It is also strengthening its partnerships to provide joint ventures with profitable companies.
A good example is its recent collaboration with IHS Markit to extend over-the-counter trading options with post-trade options. The move will have a positive impact on solidifying its post-trading option while progressing OTC services. The company boasts a continued increase in contracts interacting with all its products, leading to a consequent increase in its stocks.
Providing its continued expansion of services is a sure way to deal with its top competitors. Investors should get their monies right to ensure taking full advantage of the micro Ether futures and more of its services to come.
