Bitcoin Futures Go Live on Eurex, Europe’s Largest Derivatives Exchange

[ad_1]

The new futures contract has gone live, trades in euros, and is physically delivered in BTCE, which is 100% bitcoin backed.

Eurex, the largest derivatives exchange in Europe, introduced Bitcoin ETN Futures as the first step in Eurex’s crypto derivatives portfolio.

Bitcoin ETN Futures, which was created and launched by Eurex, is based on ETC Groups BTCetc – ETC Group Physical Bitcoin (ticker: BTCE), the world’s most traded Crypto ETP.

ETC Group is a specialist in digital asset-backed securities with over $ 1 billion in assets under management. The launch and live listing of Europe’s first Bitcoin Futures contract on Eurex is a milestone for both companies.

The new futures contract has gone live, trades in euros and is physically delivered in BTCE, which is 100% bitcoin backed and can be easily redeemed by any investor for the underlying bitcoin.

BTCE was launched on Deutsche Brse XETRA in June 2020 and is now listed on several European exchanges and became the first European Crypto ETP product to offset its carbon footprint earlier this year.

Bradley Duke, CEO of ETC Group, said: Today’s listing of Bitcoin Futures, based on Bitcoin ETP leader ETC Groups, marks another milestone in providing institutions with financial products that enable exposures to crypto on regulated exchanges. The selection of BTCE by Eurex, Europe’s largest derivatives exchange, strengthens ETC Groups leadership in crypto ETPs, and is recognition of the quality of our products and their global liquidity.

The futures contract provides a fully regulated exchange environment for tracking the price of Bitcoin, based on transparent discovery of the price of the underlying BTCE.

Bitcoin ETN futures contracts are centrally cleared like any other derivative traded on Eurex, with clearing, clearing and risk management processes provided by Eurex, which mitigates counterparty risk and lowers operational costs for them. market participants.

Eurex is the European derivatives exchange owned by the financial titan Deutsche Brse Group. The company first announced the creation and launch of bitcoin exchange-traded note (ETN) futures in August, with entry into service scheduled for September 13.

The new Eurex contract will be traded in euros and physically delivered in Bitcoin ETN. The latter, which is equivalent to 1 / 1000th of a Bitcoin at launch, is fully backed and exchangeable in the main cryptocurrency.

An ETN is a type of unsecured debt security payable to the contract holder with a fixed maturity date. ETN holders receive a one-time payment on the expiration date, based on the performance of the underlying asset, but they can also sell the contract at any time in the open market.

This is because Eurex bitcoin ETN futures offer investors the ability to gain regulated stock market exposure to bitcoin’s performance without actually purchasing the primary crypto asset.

There are now three bitcoin ETNs listed on the German Xetra platform. ETC Group was listed for the first time in June 2020, followed by crypto issuer ETP 21Shares and US asset manager VanEck.

[ad_2]