Cboe Digital’s planned launch of margin Bitcoin and Ethereum futures is set to complement its existing spot crypto market, which includes trading pairs for Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and USDC
Cboe Global Markets’ digital asset exchange recently revealed its ambitious plans to revolutionize crypto trading by launching margin futures on Bitcoin (BTC) and Ethereum (ETH) starting January 11, 2024.
Cboe Digital to Pioneer Crypto Futures Trading
This move positions Cboe Digital as the first US-regulated crypto-native exchange and clearinghouse to facilitate both spot and leveraged derivatives trading on a unified platform. The announcement demonstrates the company’s dedication to instilling trust, transparency, and responsible innovation in the crypto spot and derivatives markets.
Remarkably, Cboe Digital’s planned launch of margin futures has received backing from leading firms in both the crypto and traditional financial sectors. B2C2, BlockFills, Cumberland DRW, Jump Trading Group, Marex, StoneX Financial, Talos Trading Technologies, and Wedbush are among the notable contributors.
John Palmer, President of Cboe Digital, expressed his enthusiasm for the upcoming launch, stating, “Our upcoming launch of margin futures represents a significant milestone for Cboe Digital.” He emphasized the company’s gratitude for the support of industry partners, highlighting the collaborative effort to build trusted and transparent crypto markets.
Cboe Digital’s approach to crypto trading involves an intermediary-inclusive model, ensuring a separation of duties to prevent conflicts of interest. The integrated exchange-clearinghouse model adopted by Cboe Digital is poised to facilitate the introduction of more distinctive and groundbreaking offerings throughout 2024.
Initially, Cboe Digital will provide financially settled margined contracts on Bitcoin and Ethereum, with plans to expand its product suite to include physically delivered products at a later date, pending regulatory approvals. The margin model has been meticulously crafted to empower customers to engage in futures trading without the need to post the full collateral upfront, thus offering greater capital efficiency compared to non-margined futures trading.
One of the most notable features of Cboe Digital’s unified spot and derivatives trading platform is its ability to connect customers to both markets seamlessly. This integration allows for additional capital and operational efficiencies, making it easier for traders to navigate the diverse crypto ecosystem.
Cboe Building a Secure and Transparent Marketplace
Vincent Angelico, Head of Clearing and Execution Services at StoneX Financial, acknowledged Cboe Digital’s role in fostering innovation and trust in the crypto market. “Cboe Digital has been instrumental in helping facilitate the creation of a transparent well-regulated crypto spot and derivatives market,” he stated.
Cboe Digital’s planned launch of margin Bitcoin and Ethereum futures is set to complement its existing spot crypto market, which includes trading pairs for Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and USDC.
Meanwhile, the Cboe BZX Exchange has amended a filing for the ARK 21Shares ETF from ARK Invest and 21Shares. The new filing also includes provisions for an SSA to assist in the detection, investigation, and prevention of fraud and market manipulation. As Cboe Digital prepares to launch margin Bitcoin and Ether futures, it sets the stage for a new era in crypto trading, marked by innovation, inclusivity, and collaboration.
next