As CME continues to build upon its regulated crypto product offering, they plan to release Avalanche (AVAX▼$6.30) and Sui (SUI▼$0.7213) futures. The new contracts would be available pending regulatory approval on May 4.
CME plans to offer micro and standard-sized AVAX and SUI futures. These would allow institutional and retail investors to have greater flexibility when it comes to managing their exposures to alt coins. According to CME, the goal of this addition is to increase capital efficiency and give participants better instruments for managing risk as part of CME’s growing suite of crypto derivative products.
Demand for regulated crypto products is up, according to CME. They report that the average daily volume of their crypto futures and options has increased by 19 percent annually, and the total notional value traded reached almost $8 billion per day.
AVAX and SUI futures will add to the list of altcoin futures from CME; ADA▼$0.1627, XLM▲$0.2364, LINK▼$7.95, and BTC▼$62,936.00/ETH▼$1,703.75/XRP▼$1.15/SOL▼$69.53 futures are all currently listed at CME.
Industry professionals believe the expansion is an extension of a larger trend towards institutions allocating resources to digital assets. Executives state that adding new derivatives related to growth-focused tokens will allow traders to access emerging markets more efficiently.
Additionally, CME is moving forward with transitioning its crypto derivatives platform to 24/7 trading, starting May 29. This follows the increasing demand from customers seeking around-the-clock access to crypto markets.
In addition to expanding their derivatives offering, CME is looking into other blockchain-related projects, such as tokenizing physical assets and integrating digital assets into existing platforms.
