Cboe and FTSE Russell Partner for Digital Asset Derivatives

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As a seasoned crypto investor with a keen interest in the latest developments in the digital asset space, I’m thrilled to hear about Cboe Global Markets’ expanded collaboration with FTSE Russell. This partnership is a significant step forward in bringing more institutional-grade products and transparency to the crypto derivatives market.

Cboe Global Markets has entered into a more robust agreement with FTSE Russell to progress the evolution of derivatives based on digital assets. Under this collaboration, they aim to develop novel financial instruments, specifically cash-settled index options for Bitcoin and Ethereum.

Cboe’s move strengthens its collaboration with FTSE Russell, a renowned index company and marketplace for derivatives and securities. Together, they aim to cater to the surging interest of American investors in cryptocurrency derivatives. By offering a controlled and clear trading platform, they will enable effective management of crypto exposures within the U.S. regulatory framework.

NEWS: NEWS: Cboe Announces Expanded Collaboration with @FTSERussell to Drive Innovation in Digital Asset Derivatives

Read more in the press release:

— Cboe (@CBOE) June 11, 2024

As the Global Head of Derivatives at Cboe, I, Catherine Clay, am excited to announce our intentions to collaborate and innovate in the digital asset sector. Together, we aim to develop fresh and groundbreaking solutions.

Through this collaboration, Cboe’s existing digital infrastructure will be enhanced, allowing institutions to explore investment opportunities in the cryptocurrency market with a trusted and liquidity-filtered experience.

The FTSE Digital Asset Indices by the Financial Times Stock Exchange (FTSE), which include the FTSE Bitcoin and Ethereum Indices, are a creation of FTSE in collaboration with Digital Asset Research (DAR). Their objective is to mirror the behavior of bitcoin and ether, respectively, providing institutional investors with a reliable, liquid investment option for delving into the digital asset market.

Expanding the Customer Base of Crypto Markets

I, Fiona Bassett, CEO of FTSE Russell, am eager to build upon our collaboration with Cboe. This alliance is designed to foster the creation of innovative financial instruments in the digital asset space. By doing so, we aim to enhance investors’ accessibility to these assets and seamlessly integrate them into traditional trading environments.

Following Cboe’s recent restructuring of its digital assets business, all U.S. futures products, including those based on digital assets, will be consolidated onto a single exchange under review by regulators. This shift aims to introduce new offerings that enhance Cboe’s existing digital assets strategy, such as listing and facilitating trading for cash-settled bitcoin and ether margin futures and spot bitcoin ETFs.

Rob Hocking, as the Head of Product Innovation at Cboe, expressed that the opportune moment for introducing such derivatives lies in the growing market enthusiasm towards cryptocurrency investments.

Cboe and FTSE Russell are in the process of finalizing their plans and aim to introduce cash-settled index options by the end of this year, assuming they receive regulatory approval.

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2024-06-12 00:36