The Chicago Mercantile Exchange, or CME, has seen significant volume for its Bitcoin (BTC) futures trading product over the past 12 months. “More than 2.2 million contracts were traded in 2020,” a CME representative told TBEN. Each Bitcoin futures contract settled in cash at CME is worth the dollar value of 5 Bitcoin.
The mall posted higher than normal numbers as the price of Bitcoin warmed in December 2020 after breaking its all-time high in 2017 price of $ 19,892 on December 1. ) in December, up 114% year on year [year over year]Said the representative of CME.
Average Daily Open Interest, or ADOI, “reached a record 11,108 contracts (55,540 bitcoin equivalents) in the fourth quarter, up 233% from the fourth quarter of 2019,” according to a statement from the CME group. The big players also showed up for trading, as shown by the large open interest holders of the stock market, or LOIH. “The number of LOIH rose to a record 110 in the first week of December, indicating increased institutional interest,” said the CME representative.
The CME is planning a February launch of its Ether (ETH) futures contracts, initially announced in December 2020.
A number of large financial entities have expressed interest in Bitcoin in 2020, including MicroStrategy and Square, which have allocated large sums of capital to the first crypto asset.