Euro-denominated Bitcoin futures will bolster institutional adoption: CME Director


The upcoming launch of euro-denominated Bitcoin and Ether futures products could bolster institutional cryptocurrency adoption in the Eurozone, Giovanni Vicioso, the executive director of equity and alternative products at CME Group, told Cointelegraph in an exclusive interview.

“I think when you look at our current suite of U.S. dollar-denominated products, we have a fairly diverse appendix of participants, like traditional proprietary trading firms that are providing liquidity for those products and I anticipate that some of those participants are also going to provide liquidity for the euro-based products as well.”

Giovanni added that CME’s upcoming euro-denominated futures products also received interest from macro hedge funds, small asset managers, and long-term crypto investors.

CME is the world’s leading derivatives marketplace and encompasses four exchanges. The firm is preparing to expand its cryptocurrency derivatives products, adding euro-denominated Micro Bitcoin and Micro Ether futures products, set to launch on March 18.

The introduction of the euro-denominated products will essentially create a de facto foreign exchange (FX) contract, which is expected to attract more market participants, Vicioso told Cointelegraph:

“You can either long the U.S. dollar contract and short the euro version, or vice versa and you could do that with the Bitcoin and Ether contract. You buy one, sell the other, and you’ve got a de facto FX contract.”

Related: MicroStrategy adds 3K BTC as Bitcoin ETFs are poised to surpass gold ETFs

Bitcoin-based exchange-traded products (ETPs) have been generating significant interest since the first spot Bitcoin exchange-traded funds (ETFs) were approved in the United States on Jan. 11. Excluding the converted Grayscale Bitcoin Trust (GBTC) fund, the nine Bitcoin ETFs recorded over $2 billion in combined daily volume for the second consecutive day on Feb. 28.

Bitcoin ETF Flows. Source: Farside Investors

The anticipation and regulatory approval of the U.S. Bitcoin ETFs has led to an increase in overall institutional interest in Bitcoin, according to Vicioso.

“Since September, we have seen an uptick in Euro-denominated Bitcoin and ether volumes and we also continue to hear of growing customer interest, particularly in euro-denominated cryptocurrency products.”

CME has nearly doubled its average daily Bitcoin (BTC) trading volume, from an average of $1.6 billion a day in 2023 to over $3 billion of daily trading volume in 2024, according to Vicioso.

Bitcoin fell 0.62% in the 24 hours leading up to 1:15 pm UTC, to trade at $62,383. The world’s first cryptocurrency is up 22.50% on the weekly chart.

Related: US gov’t moved $922 million of seized Bitcoin after BTC price broke $60,000