In its latest report, the CME noted that the BTC’s future revenues in the first quarter of this year were higher than the entirety of 2020. While speaking during the firm’s earnings call, officials of the company spoke about the two leading digital asset, Ethereum and Bitcoin, and their future products.
Seat Tully, a senior official of the CME Group, revealed that the future revenue was positive after a long time and much bigger than last year, with an impressive $4.7 million in the first quarter of this year. He described it as a positive development and talked more about the large Bitcoin futures. Tully said,
With the launch of the new micro Bitcoins, today, let me talk about the large Bitcoin futures that we have. It’s 5 Bitcoins. And the margin requirements run typically more than $105,000 per contract. Obviously, that is extremely restrictive in terms of the number of participants.
The company’s official revealed that the new micro BTC would have a $2,000 margin, with 1/50 of the size, arguing how it would expand the potential customer base for the product. In addition to that, following the product launch, the rack rate fees will be half of existing BTC futures.
While referring to the Ethereum products, the company’s CEO stated that it’s rather new. Terry Duffy further added that “we will make a decision when the time is right” and for now, the company is focusing on BTC products.