CME Group said on Friday its Bitcoin Volatility Index futures are now available for trading in Chicago, with the first trades executed as blocks between crypto trading firm DV Chain and asset manager Monarq Asset Management.
The cash-settled contracts are tied to the CME CF Bitcoin Volatility Index, a 30-day forward-looking measure of implied volatility derived from CME’s bitcoin options market. Traders can use the product to express a view on expected turbulence without taking a directional position on bitcoin’s price.
“The early support we’ve seen for our new Bitcoin Volatility futures shows growing client demand for tools to protect against adverse market moves,” said Giovanni Vicioso, global head of cryptocurrency products at CME Group.
The contracts extend CME’s 24/7 crypto trading framework, which launched on May 29. CME had originally outlined a June 1 target date for the volatility product, pending regulatory review.
CME’s broader cryptocurrency suite has seen average daily volume of 266,900 contracts year-to-date, up 38% year-over-year, with open interest up 18% over the same period.
