Ethereum futures contracts will be offered at CME this afternoon, Tehran time. According to many, the supply of these contracts can have far-reaching effects on Ethereum prices.
To Report “The Block” tweeted yesterday (Sunday) that Chicago Board of Trade officials announced that futures contracts will be offered at 6pm Eastern Time (14:30 pm Tehran time today).
Earlier in the middle of December (late December), the news of the imminent launch of Ethereum futures on the Chicago Mercantile Exchange had made headlines. According to the details published on the Chicago Mercantile Exchange website, these futures contracts will be cash settlement based on the Ethereum / Dollar CME CF reference rate. Each monthly contract will contain 50 ether units and each trading block will contain at least 5 futures contracts.
The Chicago Mercantile Exchange website lists Ethereum liquidity providers, some of whom are involved in providing liquidity for futures trading and bitcoin options. These companies include BlockFi, Galaxy, Genesis, CoinShares and NYDIG.
The introduction of Ethereum futures contracts is an important step in creating digital currency-based financial products and is the first of its kind in the United States.
Earlier in 2019, Heath Tarbert, former chairman of the US Commodity Futures Trading Commission, predicted that Ethereum-based derivative financial instruments would eventually be launched in the capital markets. Harbor believed that the Ethereum digital currency fell under the definition of a commercial commodity.