Digital Assets: CME Announces Trading In Micro Ether Futures Effective December 6
The new micro futures contract size is one-tenth of one ether.
The CME Group will launch Micro Ether futures on December 6, the exchange announced Tuesday. The Micro Ether future, except for its smaller size, will retain all the features and benefits of the larger Ether futures that currently trade on the CME. (CISION PR Newswire)
The announcement from CME was opportunely timed, it seems. The price of Ethereum (ETH) hit a new all-time high of $4,522.56 earlier today, even as the bitcoin price closed in on $64,000.
Year-to-date, ethereum has gained nearly 511%, and is emerging as a worthy challenger to bitcoin for the top crown in cryptocurrencies.
CME Group recently launched the Micro Bitcoin Futures contract, at one-tenth the size of one bitcoin.
Institutional investors lap up ethereum
“Since the launch of Ether futures in February, we have seen steady growth in liquidity in these contracts, especially among institutional traders,” said Tim McCourt, CME Group Global Head of Equity Index and Alternative Investment Products. “At the same time, the price of ether has more than doubled since these contracts were introduced, creating demand for a micro-sized contract to make this market even more accessible to a broader range of participants. Micro Ether futures will offer even more choice and precision in how they trade Ether futures in a transparent, regulated and efficient manner at CME Group.”
The new contract will be cash-settled, based on the CME CF Ether-Dollar Reference Rate, which serves as a once-a-day reference rate of the U.S. dollar price of ether, CME said.
Goldman Sachs has a $8K price estimate for ethereum
Meanwhile, Goldman Sachs global markets managing director Bernhard Rzymelka noted Monday that crypto assets have shown a close correlation with inflation over the past couple of years.
Rzymelka expects the price of ethereum to rise sharply given the inflationary pressures building up across the world.
His note carried a chart that showed ethereum could potentially explode to a value as high as $8,000 by the end of the year.
Latest Alternative Investment News
Kueski is one of the largest buy-now-pay-later (BNPL) and digital lenders in Latin America. It announced December 2 its close of a $202 million Series C debt and equity round….
Charlie Munger has shot off another broadside against bitcoin, endorsing China’s action in banning cryptos. A long-standing bitcoin skeptic, Munger was speaking in an interview for the Sohn Hearts &…
New York-based instant grocery delivery startup JOKR has become a unicorn within nine months of its launch and raised a $260 million Series B within five months of raising $170…
Porsche, the German car maker, has taken a stake in Hamburg-based startup 1KOMMA5° through its venture finance arm, Porsche Ventures. The startup seeks to boost the rollout of presently decentralized…