Open Position in Bitcoin Futures Is Breaking a Record for 3 Days!
Open position in CME Bitcoin futures exceeding $ 500 million, setting a new record for the third consecutive day. Significant growth in CME futures shows intense competition between strong corporate trading platform and crypto domestic derivatives exchanges such as BitMEX .
Over the past month, CME’s Bitcoin futures market has grown faster in percentage and on real growth basis than almost any other bitcoin futures market.
The open position in the rising CME coincides with the news that leading American hedge funds are interested in investing in Bitcoin futures.
Starting in April, Renaissance Technology’s flagship Medallion fund is considering Bitcoin futures trading at CME . On Thursday, Paul Tudor Jones II of Tudor Investment Corp. also said that investors are willing to invest in Bitcoin futures.
“The recent major increase in regulated futures markets shows that institutional interest in Bitcoin has increased as a rising macro safe haven against money push and geopolitical uncertainties,” said Qari Wang, product director and former quantitative trader at Tower Research .
However, CME in the U.S. had difficulty keeping up with its rivals. For example, CBOE stopped the bitcoin futures product in June 2019 after it was finally exposed to mediocre trading volume for two years.
As an alternative to cash-paying CME contracts, Bakkt, another competitor who started physically settled bitcoin futures in late 2019, demands less than 5% of the US bitcoin futures market. The company lost two CEOs in six months.
As a result, the American Bitcoin futures market is CME and is growing faster than almost any other market.
Tim McCourt, CME Group Global Equity Index and Alternative Investment Products President, said, “The recent open position in our Bitcoin futures contract shows that market participants have gone to the CME Group to express their views and manage their risks due to the increasing global uncertainty. We are determined to continue to provide our customers with the risk management tools they need to navigate in this challenging environment, and solid liquidity. ”
According to Skew, CME is currently the third largest bitcoin futures market in the world behind OKEx and BitMEX. As corporate money continues to show interest, continuous growth in CME’s bitcoin futures can be expected. It is not surprising that CME dominates its competitors in terms of market share. CME is the best-in-class futures exchange with historically the best trading infrastructure and market makers.