CME Reportedly In Talks With Traders To Open Bitcoin Trading

The Chicago Mercantile Exchange is said to be weighing in on launching Bitcoin trades on its platform to capitalize on surging demand.

CME Group, the world’s largest futures exchange, appears to be considering launching Bitcoin trading services, as interest for digital assets on Wall Street keeps growing, the Financial Times has learned, citing people familiar with the matter.

The Chicago-based exchange has reportedly been in discussions with traders interested in trading the largest cryptocurrency by market value, although the plan is yet to be finalized. As of press time, CME made no public statements on the matter.

The talks come after the U.S. Securities and Exchange Commission (SEC) gave the green light to list spot Bitcoin exchange-traded funds (ETFs) on CME, alongside its existing crypto futures products. And while the first influx of capital into spot Bitcoin ETFs from institutional investors like Wisconsin’s Investment Board and BNY Mellon was a notable one, the latter sentiment on the market seems to have cooled off, leaving many ETF issuers with nearly no inflows.

If CME proceeds with its spot trading business, it will operate through the EBS currency trading venue in Switzerland, the people say, referring to the region’s robust regulations governing the trading and storage of crypto.

The U.S. Securities and Exchange Commission (SEC) approved multiple spot Bitcoin ETFs in early 2024 for listing on all registered national exchanges in the U.S., including the Nasdaq, NYSE, and CBOE, following a decade-long hunt for these products.

And while the SEC approved several spot Bitcoin ETFs, the watchdog has shown reluctance to swiftly approve options for spot Bitcoin ETFs, raising concerns on whether options on spot crypto ETFs should be subject to the same regulations as stocks.