Quick summary:
- The CME Group has announced that they will launch Ethereum futures on February 8th, 2021
- The launch is pending regulatory review
- The Ethereum futures will be cash-settled
- Ethereum joins Bitcoin as the second digital asset with futures contracts handled by the CME Group
- Ethereum’s value has surged past $600 due to a bullish Bitcoin and could keep going higher
The CME Group has announced that they will be launching Ethereum (ETH) futures on February 8th, 2021. According to the official announcement, the Ethereum futures are pending regulatory review and will be cash-settled once approved.
Ethereum Futures will Mimic the Success of the CME Bitcoin Futures
Tim McCourt, CME Group Global Head of Equity Index and Alternative Investment Products, expressed optimism that the Ethereum futures will be as successful as their Bitcoin futures contracts that were launched exactly 3 years ago on December 17th, 2017.
Based on increasing client demand and robust growth in our Bitcoin futures and options markets, we believe the addition of Ether futures will provide our clients with a valuable tool to trade and hedge this growing cryptocurrency.
Ethereum is the second-largest cryptocurrency by both market capitalization and daily volume. The introduction of listed Ether futures to our time-tested, regulated CME Group derivatives marketplace will help to create a forward curve so Ethereum market participants can better manage price risk.
Ethereum’s Price Skyrockets Past $600
With respect to the price of Ethereum, the value of ETH has skyrocketed past $600 as Bitcoin posted a new all-time high earlier today. At the time of writing, Ethereum is trading at $627 and looks set to keep pushing forward in tandem with a generally bullish outlook by crypto investors. Furthermore, a bullish Ethereum could be the first sign of the highly anticipated alt-season that could mimic the 2017/2018 season.