CME will launch cash settled options for Bitcoin Friday futures

The Chicago Mercantile Exchange (CME) announced plans to launch cash settled options linked to its Bitcoin Friday futures on February 24th, subject to regulatory approval for implementation. Giovanni Vicioso, Global Head of Cryptocurrency Products at CME, stated that the smaller scale and daily expiration design of these new option contracts provide market participants with more capital efficient tools for adjusting Bitcoin exposure. Since its launch in September last year, Bitcoin Friday futures have had a contract size of only 1/50 of 1 Bitcoin, which is smaller than Coinbase's "nano" Bitcoin futures (1/100 of 1 Bitcoin). As of now, the product has accumulated over 775000 contracts, with an average daily transaction volume of approximately 9700. Previously, CF Benchmarks: CME's "BitcoinFry Futures" were the ideal choice for news traders.