Chicago Board options exchange (Cboe) a few months after the debut of their first cryptocurrency product decided to change the method of valuation of futures contracts on bitcoin.
In a recently published letter sent by the company to the Commission on trade commodity futures (CFTC) 17 APR, managing Director, CBOE Future Exchange (CFE), Matthew Mcfarland (Matthew McFarland) reports on the proposed amendment, which from may 1 will reduce the minimum step size for futures contracts with 10 points (worth $10) to 5 (worth $5).
According to Mcfarland, this step will have a positive impact on the futures market the XBT.
The change will affect only the traders that play in one side (single leg transactions). Sredovye of transactions in which an investor simultaneously buys and sells two different contract, will remain unchanged — currently, the minimum step of these transactions is 0.01 points ($0,01).
According to Mcfarland, the decision was made based on data collected by the company since the launch of futures contracts in December.
“The company will continue to evaluate your trading experience futures XBT and can make a decision on the implementation of future changes related to the XBT futures,” continued Mcfarland. — “CFE believes that this change will have a positive impact on the public and market participants”.
Recall that last month, chief Executive officer Cboe Global Markets wrote a letter to the Commission on securities and stock exchanges of the USA which asserted that the market can support the launch of exchange-traded products related to bitcoin (ETP). And although the company clearly did not insist on the approval of exchange traded funds (ETFs), she used the collected data as argument to support the growing ETF on the market.