CBOE Global Markets that runs the Chicago Board Options Exchange (CBOE) is going to roll out futures for Ethereum (ETH), according to Business Insider.
What Are Futures?
Futures represent an agreement to purchase and sell an asset, including financial ones, on a particular future date at a particular cost, allowing investors to speculate on the BTC cost without really owning the currency. Certain sources disclosed to Business Insider that the futures will be launched by the end of the year and based on Gemini’s underlying market.
Currently, the project is waiting for the Commodities Futures Trading Commission’s (CFTC) approval to begin.
Ethereum Is Not a Security
In June, the Securities and Exchange Commission (SEC) stated that Ethereum was not a security. CBOE Global Markets president Chris Concannon at that point said: “This announcement clears a key stumbling block for Ether futures, the case for which we’ve been considering since we launched the first Bitcoin futures in December 2017.”
The CME launched BTC futures trading in December and later added that the organization won't present futures on digital currencies other than Bitcoin (BTC) in the nearest future, referring to their volatility as an argument.
According to the Chicago Mercantile Exchange (CME), the average daily volume of BTC futures increased by 93% in the second quarter over the first quarter of 2018.