CHICAGO and LONDON, Oct. 6, 2022
/PRNewswire/ -- CME Group, the world's leading derivatives
marketplace, and CF Benchmarks, the leading provider of
cryptocurrency benchmark indices, today announced plans to launch
three new cryptocurrency reference rates and real-time indices,
which will be calculated and published daily by CF Benchmarks,
beginning October 31.
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These reference rates and indices are not tradable futures
products. They include the following:
- Avalanche (AVAX)
- Filecoin (FIL)
- Tezos (XTZ)
"Together with bitcoin, ether and other available
cryptocurrencies, CME CF Reference Rates and Real-Time Indices will
capture more than 92% of the investable cryptocurrency market
capitalization," said Giovanni
Vicioso, CME Group Global Head of Cryptocurrency Products.
"These new benchmarks are designed to allow traders, institutions
and other users to access a much broader range of cryptocurrencies
through a suite of products they are already familiar with,
allowing them to confidently and more accurately manage
cryptocurrency price risk, value portfolios or create structured
products like ETFs."
CME CF Reference Rates and Real-Time Indices are based on robust
methodologies that have regular expert oversight and are designed
to meet the growing need for transparent, regulated and
round-the-clock pricing.
Several leading crypto exchanges and trading platforms will
provide pricing data for these new benchmarks, starting initially
with Bitstamp, Coinbase, Gemini, itBit, Kraken, and LMAX Digital.
Each coin will trade on a minimum of two of these constituent
exchanges.
"Investors are increasingly seeking exposure to a wider range of
cryptocurrencies as they learn more about the potential of the
digital asset class," said Sui
Chung, CEO of CF Benchmarks. "Regulated investment products,
spearheaded by CME Group's Crypto derivative suite, have helped
open crypto to a much wider range of investors. Through its robust
reference rates, CF Benchmarks is proud to be able to facilitate
the creation of regulated financial products for this new asset
class so investors can seek and manage exposure with
confidence."
"The introduction of new products at CME Group is both exciting
and necessary, as investors demand a focused exchange where safety
and risk are a primary priority," said Bill
Cannon, Head of Portfolio Management at Valkyrie
Investments. "This expansion provides functional accessibility to a
variety of new and unique financial products, bridging the
ever-narrowing gap between traditional and decentralized financial
markets. We find that these types of innovations, especially at the
current point in the cycle, will help build a stronger foundation
in digital assets and create new channels of growth considering the
amount of investment currently entering the sector."
Each of these new reference rates will provide the U.S. dollar
price of each digital asset, published once-a-day at 4 p.m. London
time, while each respective real-time index will be published once
per second, 24 hours a day, 365 days per year.
For more information on these products, please visit
www.cmegroup.com/cryptobenchmarks.
About CME Group
As the world's leading derivatives marketplace, CME Group
(www.cmegroup.com) enables clients to trade futures, options, cash
and OTC markets, optimize portfolios, and analyze data – empowering
market participants worldwide to efficiently manage risk and
capture opportunities. CME Group exchanges offer the widest range
of global benchmark products across all major asset classes based
on interest rates, equity indexes, foreign
exchange, energy, agricultural
products and metals. The company offers futures and
options on futures trading through the CME Globex® platform, fixed
income trading via BrokerTec and foreign exchange trading on the
EBS platform. In addition, it operates one of the world's
leading central counterparty clearing providers, CME
Clearing.
CME Group, the Globe logo, CME, Chicago Mercantile Exchange,
Globex, and, E-mini are trademarks of Chicago Mercantile
Exchange Inc. CBOT and Chicago Board of Trade are trademarks of Board
of Trade of the City of Chicago,
Inc. NYMEX, New York Mercantile Exchange and ClearPort are
trademarks of New York Mercantile Exchange, Inc. COMEX is a
trademark of Commodity Exchange, Inc. BrokerTec and EBS are
trademarks of BrokerTec Europe LTD and EBS Group LTD,
respectively. Dow Jones, Dow Jones Industrial Average, S&P
500 and S&P are service and/or trademarks of Dow Jones
Trademark Holdings LLC, Standard & Poor's Financial Services
LLC and S&P/Dow Jones Indices LLC, as the case may be, and have
been licensed for use by Chicago Mercantile Exchange Inc. All
other trademarks are the property of their respective owners.
About CF Benchmarks
CF Benchmarks is the leading provider of cryptocurrency
benchmark indices, authorised and regulated by the UK FCA under the
EU BMR. Composed of market data from six constituent exchanges, its
benchmark indices are provided through public methodologies and
transparent governance, for tracking, valuing and settling risk in
cryptocurrency financial services and products. CF Benchmarks'
indices have been used to settle over $500bn of cryptocurrency derivative contracts
listed for trading by CME Group and Kraken Futures.
CME-G
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SOURCE CME Group