Get Ready To Trade CME Bitcoin Futures In The U.S.

As we near the end of 2017, the CME Group has announced plans to launch a Bitcoin (BTC) futures contract for trade on the CME Globex platform. So, at long last, Bitcoin enthusiasts located in the United States will be able to trade a Bitcoin derivatives contract.

No Doubt About It, Bitcoin Is Becoming A Favorite Among Investors.

This is a big step in the U.S., as the only mode of trading Bitcoin is on the cash markets. With values soaring over $10,000 per/BTC, holding physical BTC is capital intensive, to say the least.

My colleague Skerdian covers cryptocurrencies in-depth. Be sure to check in on his regular updates on BTC as well as the live trading signals facing many other cryptocurrencies.

Will BTC Futures Succeed?

The actual impact of the CME Group launching a BTC futures contract is difficult to say. Many in the media cite the desire for institutional involvement in the cryptocurrency arena as a reason for its creation. Personally, I think where there is public interest, there is money to be made. The overwhelming popularity and capital appreciation of BTC is very likely to generate considerable trading volumes.

However, the success of such a contract is no guarantee. In fact, odds are stacked against a new futures contract becoming viable and gaining momentum. These new launches are far from being slam dunks. Contracts on everything from snowfall to real estate prices have failed miserably in the past.

I look forward to engaging BTC futures after the coming CME launch. There are certain to be growing pains and technical challenges, but once those are ironed out BTC futures may prove to be a solid market.

ABOUT THE AUTHOR See More

Shain Vernier

US Analyst

Shain Vernier has spent over 7 years in the market as a professional futures, options and forex trader. He holds a B.Sc. in Business Finance from the University of Montana. Shain's career includes stretches with several proprietary trading firms in addition to actively managing his own accounts. Before joining FX Leaders, he worked as a market analyst and financial writer.

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