On September 13, Eurex, the derivatives platform, will launch Bitcoin-ETN futures with physical delivery of the first cryptocurrency.
We’re excited to announce the launch of #Bitcoin ETN #futures. As the extension of the ETN traded so successfully on @Xetra, the new contract offers clients access to the price of Bitcoin in a regulated on-exchange and centrally cleared environment. https://t.co/N5A0EVqAYp pic.twitter.com/qr6firZWNX
— Eurex (@EurexGroup) August 20, 2021
The futures will be traded in euros.
There is a strong demand from institutional investors for access to Bitcoin in a safe and regulated environment. Bitcoin-ETN futures will spare the need to turn to unlicensed crypto platforms or build infrastructure, including a digital wallet, — Randolf Rot, a member of Eurex’s board.
Investor protection will be ensured by standard clearing, netting and risk-management procedures. This will reduce counterparty risks and operating costs for market participants, the press release said.
The contract is based on the exchange-traded product BTCetc, one of the most-traded instruments in this category on the Xetra platform within Deutsche Börse’s structure.
The ETN is equivalent to 1/1000 of a bitcoin, fully collateralised and redeemable in the underlying cryptocurrency.
Earlier in June, Deutsche Börse Group acquired a majority stake in the Crypto Finance AG holding. The deal will allow the platform to expand its offering in the digital assets space.
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