CME Group To Launch Cardano, Chainlink, And Stellar Futures Contracts Next Month As Institutional Demand Accelerates ⋆ ZyCrypto

CME Group, the world’s largest derivatives exchange, is deepening its exposure to altcoins as demand for regulated crypto products grows in the US.

CME announced on Thursday that it plans to roll out futures contracts linked to Cardano (ADA), Chainlink (LINK), and Stellar (XLM) on February 9, pending regulatory approval. The contracts will be offered in both standard and micro sizes for all three cryptocurrencies, catering to both retail and institutional traders.: 100,000 ADA and 10,000 for the micro; 5,000 LINK and 250 for the micro; and 250,000 XLM and 12,500 for the micro.

The new contracts would expand CME’s crypto derivatives lineup, which is regulated by the Commodity Futures Trading Commission (CFTC), and include futures and options tied to Bitcoin (BTC), Ether (ETH), Ripple’s XRP, and Solana (SOL). CME indicated that the new products aim to satisfy the rising demand from market participants seeking regulated exposure to digital assets.

“Given crypto’s record growth over the last year, clients are looking for trusted, regulated products to manage price risk,” Giovanni Vicioso, CME Group’s global head of cryptocurrency products, said in the press release.

“With these new micro- and larger-size Cardano, Chainlink, and Stellar futures contracts, market participants will now have greater choice with enhanced flexibility and more capital-efficiencies,” Vicioso added.

ADA was trading at $0.38 at press time, down 1.37% over the last 24 hours. Meanwhile, LINK, which provides oracle services, has dropped 2.5% since yesterday and was recently trading at $13.73, and Stellar’s XLM, used for smart contracts and cross-border payments, was valued at $0.2248 after plunging 3.1% on the day, according to data from CoinGecko.

CME’s derivatives broadening builds on the prominent exchange’s role as an early pioneer of Bitcoin futures. CME launched the world’s first BTC futures contracts in December 2017, with the company steadily expanding its crypto menu over the years.

CME Group’s trading venue is a major marketplace for American institutional clients to trade crypto-based derivatives. It’s the world’s largest derivatives exchange for BTC and ETH futures by open interest, with $11.61 billion and $6.18 billion in contract notional value, respectively, according to CoinGlass data.