Bitcoin Futures, Explained

 

The First U.S. Bitcoin Futures. Bitcoin futures are now available for trading on the Cboe Futures Exchange, LLC (CFE). CFE launched trading in Cboe bitcoin futures on December 10 under the ticker symbol

Any Market Orders for XBT futures contracts received by the Exchange will be automatically rejected or canceled back to the sender. Trade at Settlement Transactions: Once the futures contract has been entered, both parties have to buy and sell at the agreed-upon price, irrespective of what the actual market price is at the contract execution date.

Cboe XBT Bitcoin Futures Trading Data

24/10/ · On a Sunday evening last December, as the cryptocurrency craze consumed the world, traders waited eagerly at their computers to witness the debut of a flashy new financial product. Bitcoin futures.

All times referenced are Chicago time. The individual legs and net prices of spreads in XBT futures may be in increments of 0. Trade at Settlement Transactions: The eligible size for an original Order that may be entered for a cross trade with one or more other original Orders pursuant to Rule is one Contract.

The Trading Privilege Holder or Authorized Trader, as applicable, must expose to the market for at least five seconds under Rule a at least one of the original Orders that it intends to cross. The Order Exposure Period under Policy and Procedure IV before an Order may be entered to take the other side of another Order with respect to which there has been pre-execution discussions is five seconds after the first Order was entered into the CFE System.

Exchange of Contract for Related Position Transactions: For any ECRP transaction in which the related position is bitcoin, the related position portion of the transaction must be consummated through the facilities of Gemini.

Block Trades are permitted in XBT futures. The minimum Block Trade quantity for the XBT futures contract is 50 contracts if there is only one leg involved in the trade. If the Block Trade is executed as a transaction with legs in multiple contract expirations, each leg must meet the minimum Block Trade quantity for the XBT futures contract.

In accordance with Policy and Procedure III, the Trade Desk will determine what the true market price for the relevant Contract was immediately before the potential error trade occurred. In making that determination, the Trade Desk may consider all relevant factors, including the last trade price for such Contract, a better bid or offer price, a more recent price in a different contract expiration and the prices of related contracts trading on the Exchange or other markets.

Trading hours for expiring XBT futures contracts end at 2: This gives you the flexibility to invest and divest at the optimal time for your specific trading strategy. Get Exposure to Bitcoin Price Moves without Holding Bitcoins XBT futures provides investors with the opportunity to buy, sell and trade bitcoin futures or implement your trading strategies without having to pay for the actual currency.

Settle to a Single Auction Price XBT futures is a cash-settled contract that settles to a single, tradeable auction price. In designing XBT futures, Cboe leveraged its significant product development expertise to design an instrument that allows participants to implement trading strategies in a manner to which they are accustomed.

The single price settlement process gives participants the option of using XBT futures to hedge their exposure in underlying bitcoin or gain exposure to traded bitcoin prices without holding bitcoin.

Bitcoin futures based on the Gemini auction prices are traded exclusively at Cboe Futures Exchange. The brokers below are confirmed to offer trading in XBT futures. Unlike security options, CFE futures contracts other than security futures cannot be held in a securities account and are required to be held in a futures account.

CFE security futures contracts may be held in either a futures account or a securities account. It is not an endorsement of the firms listed, and no significance should be attached to a firm's inclusion or omission. Open Markets Visit Open Markets. Now you can hedge Bitcoin exposure or harness its performance with a futures product developed by the leading and largest derivatives marketplace: CME Group, where the world comes to manage risk.

Pending regulatory review and certification View Rulebook Details. CME Group is the world's leading and most diverse derivatives marketplace. Toll Free US Only: