The First Bitcoin ETF Is Already in Danger. Here’s Why

The first US Bitcoin ETF – The ProShares Bitcoin Strategy ETF – may prove itself popular beyond sustainability. The fund is already approaching its limit on futures contracts holdings, as enforced by the Chicago Mercantile Exchange (CME). Bitcoin ETF: Too Popular to Handle? Last week, data from Bloomberg indicated that ProShares' Bitcoin ETF was holding 1900 futures contracts dated for October. This was only 100 short of the 2000 futures contract limit that the CME imposed during an ETF's first…

A Bitcoin ETF Has Arrived In The United States

Following years of delay and debate, the SEC has finally greenlit a Bitcoin Exchange Traded Fund for the United States. On Tuesday morning, the ProShares Bitcoin Futures ETF should begin trading on the New York Stock Exchange (NYSE). Also, many expect the fund to give typical consumers and major institutions both compliant and convenient exposure to Bitcoin. The ProShares Bitcoin Strategy ETF ProShares announced its upcoming launch this morning in a press release, confirming rumors circulating since Friday. On October…

Bitcoin Lending Platform BlockFi Files for Bitcoin ETF

BlockFi– a leading cryptocurrency lending institution– has recently filed for a Bitcoin Futures ETF with the SEC. Their request comes amidst growing excitement that the US could approve a Bitcoin ETF by the end of October. Blockfi’s Bitcoin Strategy ETF BlockFi’s proposed ETF would be listed on the Cboe BZX exchange, according to the company’s filing today. It seeks to purchase cash-settled Bitcoin futures contracts on the CME to accumulate capital. It would also invest in short-term fixed-income securities, alongside…

Shrimpy Brings Futures Markets to Social Trading, Here Is How It Works

Shrimpy is a portfolio management platform introduced in 2018 that provides multiple solutions to the crypto trading world. For three years, the platform has delivered intuitive and valuable products that allow cryptocurrency investors to interact with the digital asset market hassle-free. Shrimpy’s prime offering is represented by its portfolio rebalancing and social trading tools, which users can utilize to improve their market performance. Not to mention, the platform currently supports a list of 16 exchanges which includes: Binance, Kucoin, Coinbase,…

6 Best Platforms for Trading Crypto Futures in 2020

Crypto futures are derivative products in the form of a contract. Two parties commit to either sell or buy a cryptocurrency on a certain date in the future at a predetermined price. In essence, Crypto futures allow traders to speculate on the future magnitude and price of an Asset. The trading volume of crypto futures has grown rapidly since launching the first Bitcoin futures contract in 2017 by the Chicago Board Options Exchange (Cboe). According to a recent Bloomberg Report,…

A Comprehensive Beginner’s Guide on Bitcoin and Crypto Futures

From spot trading to staking and now cryptocurrency futures, investments in the crypto space are increasingly being diversified-a move aimed at reducing risks and increasing profitability. Many crypto traders are increasingly engaging in trading crypto futures, which took the crypto space by storm around December 2018. A report by Tokeninsight revealed that the combined total trading volume in the cryptocurrency spot and futures markets in Q1 2020 amounted to roughly $8.8 trillion. This figure represented an enormous 314% quarterly increase…

Bakkt’s Bitcoin Futures Settled in Bitcoin Overtakes Cash Settlement

The most recent data has shown that Bitcoin (BTC) futures platform Bakkt is currently seeing the majority of its contracts settled in BTC, not cash. According to the provider of real-time data analytics for Bitcoin and Ether derivatives, Skew, the latest data on May 26 shows that Bakkt’s physically-settled Bitcoin Futures produced $34m, cash-settled Bitcoin Futures produced $9.3m and total open interest was $7.6m. Likewise, Bakkt’s physically-settled BTC Futures recorded a daily volume of $43m on the same day. The data shows that…

ETFs 101: Could They Change the Entire Scope of Crypto Investments?

Predicting the price of cryptocurrencies is challenging, thanks to their volatile nature. Consider bitcoin's volatility, which has seen the coin fluctuate between $3,000 - $20,000 over the last three years. The uncertainty and volatility are perhaps significant reasons why investors shy away from digital assets. Given that there is a growing increase in digital assets investments, finding a solution is vital. Exchange-Traded Fund (EFTs) come in at this point and could be instrumental in crypto investing.  So, could ETFs revolutionize…

Perpetual Contracts for Cryptocurrencies – A Beginner’s Guide

Perpetual contracts trading makes up a significant percentage of overall exchange-traded cryptocurrency volumes. Investors who are looking to bet on the price developments of BTC and other crypto assets are often not too concerned about holding actual tokens but are instead interested in trading highly liquid cryptocurrency derivatives such as perpetual futures contracts. Perpetual futures contracts on cryptocurrencies are financial derivatives enabling traders to bet on the price movements of crypto assets using leverage without owning the underlying digital asset. …

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