Despite successful shows of force from CME Group and Bakkt’s Bitcoin options offerings, the majority of volume still goes through Deribit.
This squashes fears that the new offerings would be in direct competition with the European firm, and highlights the fact that non-institutional investors seem to prefer unregulated exchanges.
CME Group’s Launch
CME successfully launched Bitcoin options trading on its derivatives exchange earlier this week; offerings like these permit investors to hedge or speculate on the price of the leading cryptocurrency.
Rival platform Bakkt, which is owned by the Intercontinental Exchange (ICE), released its own options and cash-settled contracts in early-December, 2019.
On the first trading day, January 13, more Bitcoin options contracts were traded on CME than Bakkt: CME traded 55 contracts with around $2.1 million worth of Bitcoin, while its competitor only saw around $1.15 million in option trading volumes.
The successful launch of Bitcoin options at CME reflects the increasing interest in Bitcoin derivatives — as highlighted in data from Skew — across the board.
Deribit Takes the Cake
Deribit Dwarfs Institutional Volume (Source: Skew).
Last week, daily Bitcoin option volume rose to over $90 million, and this week saw that figure reach almost $150 million.
Despite the success of CME and Bakkt, when compared with these competitors Deribit is by far the most popular choice — accounting for over 80% of total volume.
In 2019 — when there was less competition — approximately 95% of all trades took place on the Dutch-based exchange, which announced Thursday it was moving its operations to Panama citing regulatory concerns.
These numbers highlight the fact that non-institutional Bitcoin traders still seem to prefer unregulated exchanges like Deribit over regulated ones like CME and Bakkt. That said, institutional interest is certainly still on the rise.
Further, not all competition is bad. As pointed out on Twitter by @jgreco, “sometimes additional competition will drive more volume.”
He goes on to remind us that these separate venues — CME, Bakkt, and Deribit — all contribute to the Bitcoin ecosystem as a whole, and this creates a “rising tide that lifts all boats.”
Futures Market Brings Legitimacy to Bitcoin
Heath Tarbert, Chairman of the U.S. Commodity Futures Trading Commission (CFTC), recently discussed Bitcoin futures in an interview with Cheddar.
According to Tarbert, the Bitcoin futures market provides reliably:
“By allowing them to come into the world of the CFTC, we’re allowing the futures market to develop based on these products and in that way, when people are interested in purchasing a particular digital asset of the two, Bitcoin or Ether, they can rely on the futures market.”
The Chairman also explained that the Bitcoin futures market helps in pricing, hedging, and risk management, adding that he believes it helps to legitimize and increase the liquidity of these markets.
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Users can now purchase cryptocurrency with a credit or debit card on Bitcoin. com’s premier trading platform via a new partnership with Moonpay. The Bicoin. com Exchange has been rapidly expanding its offerings by adding new SLP tokens.
Tokens that emerged from Initial Exchange Offerings (IEOs) have demonstrated a poor performance this year, according to BitMEX research. Most IEOs Have Failed Despite Bitcoin Surge In May of this year, BitMEX published its first piece of research on IEOs, concluding that the market was doing much better than initial coin offerings (ICOs).
In an exclusive interview, OKEx’s Andy Cheung talks derivatives, self-regulation, and emerging markets. Looking back, 2019 seems to have been a watershed year for cryptocurrency exchanges. The explosion of the crypto derivatives market has put many of the bigger exchanges into a position of competing with regulated institutional offerings, such as Bakkt and CME.
BlockFi has increased its high-yielding tier levels for Bitcoin and Ether, suggesting institutional interest in borrowing crypto is rising. BlockFi announced yesterday that it is making changes to its most lucrative tier one lending offerings.
In a Medium post published on November 25, 2019, blockchain project Ontology announced that it had partnered with data-driven smart contracts platform Chainlink to leverage its distributed ledger technology-based (DLT) market offerings.
When Blockstack announced the first Reg A+ token sale, many believed it would open the floodgates for a spate of similar offerings. Reg A+ has long been the Holy Grail of token offerings in the U.
With exchanges controlling so much of the industry inflows, and accounting for more than 40% of the jobs, any review of the year has to start and end there. An analysis of the dominant trends driving trading platforms serves as a proxy for measuring the cryptosphere’s overall health.
Debit cards linked to crypto wallets have been a useful payment tool for users who want to be able to spend their cryptocurrencies almost anywhere. Offerings in the segment have been changing over time due to various reasons including regulatory challenges in different markets.
There are many benchmarks for measuring IEO success. Token price, community size, code shipped, and milestones met are all yardsticks for gauging the progress of a tokenized project. For projects seeking to create the biggest possible splash, however, liquidity is the crucial factor.
Recognizing that businesses are seeking alternative ways to raise capital other than bank lending, the Bank of Lithuania has issued new guidelines on security token offerings. The goal is to clarify applicable rules without introducing more regulations.
Coinspeaker CME Group Says Institutional Players Have Increased Appetite for Bitcoin Futures ContractsAccording to the CME Group, big institutional investors have increased their need for futures and options offerings by more than half.
Initial Public Offerings (IPOs) are the primary marketing issuance of shares from a company to the public. Almost all successful companies undergo this process as it is extremely effective for raising funds for the launch of new products or services as-well-as fueling the growth of startups.
The bitcoin market is 90 percent retail-based. And that makes Fidelity Investments nervous about its very-own digital currency offerings, says the company’s Personal Investing President, Kathleen Murphy.
Mark Branson, the head of FINMA, is more worried about cryptocurrency networks being developed behind the scenes and scaling to a height where they cannot be stopped. While Libra is open to regulatory collaboration, there are plenty of projects that are being developed in silent and spreading through cyberspace, as per Reuters, October 1, 2019.
Six among the leading securities companies in Japan including Monex, SBI Securities, and Rakuten Securities have officially established the Japan Security Token Offering Association. The announcement comes directly from Monex, October 1, 2019.
RSK parent company IOV Labs has acquired social platform Taringa to solicit feedback on its offerings and incentivize content creators.
The post RSK Parent Company Acquires Taringa to Tokenize Social Media appeared first on Bitcoin Magazine.
With every passing day, cryptocurrencies are being widely included in the business offerings of firms, offerings based on the fact that many prospective individuals are growing more inclined towards digital assets.
An agreement between financial services company TMX Group and cryptocurrency broker Paycase Financial has resulted in a lawsuit between the two.
The post TMX, Paycase Deal for Cryptocurrency Offerings Leads to $500M Lawsuit appeared first on Bitcoin Magazine.
Controversial internet entrepreneur Kim Dotcom is back, and he’s selling tokens to build a blockchain-powered content network. Dotcom’s proposed platform, K. IM, is pitched “secure and dynamic ecosystem” where consumers and publishers of digital content can easily transact (without the middleman).
Blockchains are now enabling customers to avail privacy-enhanced service offerings, starting with Nebula Genomics’ Anonymous Sequencing. As per a blog post, customers can submit their genome sample without any other personal information, September 19, 2019.
EOS first mustered attention in the crypto space when they claimed they could process nearly 4,000 transactions per second, which would eventually scale up millions. Moreover, it was the third network set up by Dan Larimer, who has developed a reputation for launching initial coin offerings (ICOs) and moving on to another project with hisRead MoreRead More.
Market data provider Kaiko has announced the end of their seed round, led by the likes of Anthemis Capital and Point Nine Capital, September 11, 2019. The company raised $5 million in a bid to further its service offerings with better infrastructure.
Facebook’s Project Libra has applied for a payment system license from the Swiss Financial Market Supervisory Authority (FINMA). FINMA says Libra’s service offerings will, however, require a broader oversight that would include operational risks, liquidity and more, according to a Reuters report on September 11, 2019.
Jack Dorsey, CEO of Twitter and Square, has confirmed that Twitter has no plans of rivaling Facebook and Telegram with a token offering of their own, as per Forbes, September 9, 2019. Square will focus on bettering their Bitcoin-based offerings as Dorsey believes that an open internet standard like Bitcoin is much more beneficial andRead MoreRead More.
A new Indian government report has put cryptocurrency in a positive light, viewing the mechanisms surrounding it, including initial coin offerings, as “revolutionizing the global fintech landscape.
Bitcoin is the best investment that you could have possibly made in this decade. According to data shared by the “Crypto Godfather”, known as the CEO of Block Journal, the performance of BTC has dwarfed all technology Initial Public Offerings (IPOs) since 2010.
The US Securities and Exchange Commission (SEC) must approve or disapprove at least two Bitcoin exchange-traded funds (ETFs) this October. 2-Month Countdown To Bitcoin ETF Decision In filings released August 12, the SEC chose to postpone final judgement on three ETFs it is currently considering.
As per an announcement on their blog, Coinbase is exploring the possibility of listing new digital assets on its exchange. The assets include successful Binance Initial Exchange Offerings (IEOs), namely Harmony (ONE), Matic Network, and Algorand amongst others.
PwC’s global research and consulting wing, Strategy&, revealed in their summer report that a whopping $3. 3 billion has been raised in token offerings between January and May 2019. Bitfinex’s LEO offering accounts for 30 percent of that entire amount.
The blockchain and cryptocurrency task force established by the Kenyan government is requesting that the authorities enable the development of initial coin offerings (ICOs). According to a report on iTWeb Africa on July 29, 2019, the country’s task force believes that ICOs would help local startups fund projects.
Initial coin offerings have seen a significant decline in popularity, but they are not to be written off completely. Although you don’t hear the term “ICO” so often nowadays, some recent regulatory developments indicate they have a place in the digital economy realm.
The Malta Financial Services Authority (MFSA) released a new consultation paper published July 19, 2019. first of many crucial steps to adjust the capital market according to their Vision 2021. Why now? The timing of this new consulting paper couldn’t have come at a better time with the recent announcement of EFFORCE, a new blockchainRead MoreRead More.
China is not a bitcoin-friendly country as it has taken a slew of measures to kill the flagship cryptocurrency, which include imposing a blanket ban on all initial coin offerings (ICO) and shuttering crypto exchanges.
The total amount of Wrapped Bitcoin (WBTC) locked in the Kyber Network had almost tripled in a single day, DeFi Pulse reported. The sudden increase in WBTC reserves could have been a reaction to the news that the DeFi protocol Compound has added WBTC to its offerings.
As per an all new statement released by Compound Labs, the firm has just added Wrapped Bitcoin to its list of public investment offerings. In this regard, it should be pointed out that this decision came into effect after the project’s core community of users voted in favor of the move almost unanimously. Additionally, for […]
The U. S. Securities and Exchange Commission recently made history when it green-lighted two token offerings under Regulation A+. “This is the first time in U. S. history that a crypto token offering has received SEC qualification,” one of the two qualified issuers proclaims.
In a bid to expand its crypto product offerings and strengthen its position as a global provider of crypto-based financial services, Bitcoin Suisse AG has applied for a banking license with the Swiss Financial Markets Supervision Authority (FINMA), according to a press release on July 16, 2019.
A new Initial Futures Offering (IFO) from CoinFLEX, a cryptocurrency futures and lending exchange, will be launched on Wednesday the 17th of July. CoinFLEX is backed by popular investor and Bitcoin bull, Roger Ver, as well as crypto investing firm, Polychain Capital.
Fans of Opera's mobile browser will be chuffed to hear that it is adding support for both Bitcoin and Tron to its latest Android version. The Norwegian software company last year announced support purely for Ethereum and it's myriad of ERC-20 token offerings.
The cryptocurrency markets peaked in 2018 at a total capitalization of $835 billion. If an investor purchased $1,000 in crypto at the market’s top how much would their investment be worth at today’s prices? During 2017, the crypto markets came to a head as the confluence between rising prices, media attention, feverish initial coin offerings, […]
The post How much $1,000 invested in Bitcoin, Ethereum, XRP, Litecoin at the 2017-18 market top would be worth today appeared first on CryptoSlate.
After a prolonged crypto-winter and subsequent Bitcoin rallies, much of the community is anticipating an altcoin season. However, crypto-traders and analysts speculate that the lack of an altcoin season so far has to do with a growing interest in initial exchange offerings [IEOs].
In a blog post published on July 3, 2019, community-driven blockchain project Tezos announced that it had secured a business partnership with Latin America’s largest standalone investment bank, Banco BTG Pactual S.
Telegram’s In-House Crypto to be Sold on Liquid As Bitcoin (BTC) and the broader crypto asset market has recovered over the first half of 2019, it seems as though initial coin offerings (ICO) have made.
Bittrex, the popular bitcoin and cryptocurrency trading platform, today announced that it further bolstered its real-time and advanced technology offerings with the purchase of Tradedash, a trading application tool that provides professional and personal customers with secure and customizable trading experience.
The Seychelles stock exchange has announced plans to list a regulated security token, becoming the first national bourse to do so. Despite the hype surrounding tokenized securities and the talk of security token offerings (STOs) replacing initial coin offerings (ICOs), not much has happened in this regard.
In an interview with BTCManager, the CEO of the New York-based investment firm Wilshire Phoenix Funds LLC. said that their United States Bitcoin and Treasury Investment Trust product is one of the most promising yet.
Six months in and initial exchange offerings (IEOs) are refusing to die. Following a year of ICO stagnation in 2018, it appeared that the crypto crowdfunding bubble had popped, sending tokenized projects back to the drawing board.
Debit cards tied to cryptocurrency wallets provide an opportunity to spend your digital coins almost anywhere fiat money is accepted. It’s a working solution, at least until wider adoption comes around.
Crypto options exchange Deribit has issued a scam alert, cautioning against fake recruiters using LinkedIn to target job seekers. Cryptocurrency exchange Deribit has raised concerns about a growing scam in which fraudsters impersonate recruiters to deceive job seekers, particularly targeting…
