CME Group, the world's largest futures exchange, is planning to launch Bitcoin trading, aiming to take advantage of this year's surge in demand from Wall Street money managers for exposure to the cryptocurrency sector, the Financial Times reported. CME has been in discussions with traders looking to buy and sell cryptocurrencies on regulated markets, according to three people familiar with the matter.
The yet-to-be-finalized plan would represent a further incursion into digital assets by major Wall Street institutions following the U.S. Securities and Exchange Commission’s (SEC) approval of a Bitcoin spot ETF in January.
CME Group already trades Bitcoin futures, and introducing Bitcoin spot trading on the platform will make it easier for investors to conduct so-called basis trading.
CME Group, which primarily serves hedge funds and proprietary traders, has about 26,000 open contracts on its Chicago market worth about $8.5 billion, more than double from a year ago.
People familiar with the matter said the company's potential spot trading business would be conducted through the EBS currency trading platform in Switzerland, which has strict regulations on the trading and storage of crypto assets.
This article Insider: Leading futures exchange CME plans to launch Bitcoin spot trading first appeared on Zombit.
