Cboe Digital Brings Margin Trading for Bitcoin and Ether Futures
In the latest development, Cboe has secured approval from the U.S. Commodities and Futures Trading Commission (CFTC) for offering physical and financially-settled margined contracts, starting from the second half of the year. advertisement So far, Cboe has been offering only fully collateralized trading of crypto futures. However, as per these agreements, the clients had to put up the entire amount of a contract before trading. With the margined trading facility, traders will need to put up less capital while opening a position. Also, the physical settlement of crypto assets will allow traditional firms to access Bitcoin and Ether futures without any custodial requirements from the intermediaries. Cboe Digital President John Palmer further explained: “That’s where the concept of us also having a spot market has advantages. We didn’t want to have to force participants to custody or touch the physical asset.” Recommended...