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Genesis To Soon Launch Its Institutional Crypto Futures Products.

Genesis Global Capital, a cryptocurrency trading business, has completed a one-of-a-kind deal that will pave the way for new institutional crypto futures products.

Genesis has completed the first-ever over-the-counter (OTC) block trade of a Basis Trade at Index Close (BTIC) transaction utilizing Chicago Mercantile Exchange Bitcoin futures contracts (CME). According to a Sept. 26 statement, the deal was executed in cooperation with derivatives market creator Akuna Capital.

Because BTICs are more often utilized in stock markets, this is the first time one has been used for cryptocurrencies. Investors can purchase and sell futures contracts with prices depending on the index’s end-of-day close in this type of trading.

Tim McCourt, CME Group’s Global Head of Equity Index and Alternative Investment Products, said the product was the next step in providing broader exposure to CME’s Bitcoin derivatives and Ethereum futures, which launched in February. He went on to describe the benefits of this new trading instrument, saying:

“BTIC allows market players to trade the basis more effectively while also offering a regulated marketplace for real-time price discovery and improved trading accuracy for institutional participants looking to optimize their holdings across the futures and spot markets.”

CME Group uses Genesis to offer liquidity for its BTC and ETH futures and options.

The CME introduced tiny Bitcoin futures in May, which are contracts for 0.1 bitcoin. The offering was created to assist institutional traders to diversify their crypto-related risks.

The product had over a million traded contracts by the end of June, indicating that there is a significant demand for smaller holdings in crypto among institutional investors who are still testing the waters. This innovative product is another illustration of how well-heeled investors may acquire exposure to crypto markets by broadening their options.

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