CBOE Going to Offer Bitcoin Futures and Options for the Public
This content in the article linked below was interesting for a couple of reasons. The CBOE is going to offer bitcoin future contract and options for the public. First, this is going to introduce millions of new investors to invest in bitcoin. Secondly, it will make Bitcoin that much more mainstream.
From the article:
"Future contracts and options trading on the CBOE will allow millions of accredited investors to invest in bitcoin and speculate its price trend. It is expected that millions of new investors, as well as institutional investors, will be exposed to an entirely new asset class in bitcoin and cryptocurrencies with the CBOE deal. In the upcoming months, the successful integration of future contracts onto the CBOE platform will likely lead to a significant increase in demand towards bitcoin and the cryptocurrency market.
The Details
In order to offer bitcoins future contracts and options, the CBOE entered into an exclusing global licensing agreement with Gemini digital currency exchange, founded and operated by the Winklevoss twins. Gemini will provide accurate bitcoin quotes and data. Once implemented, this may help to propel Bitcoin to higher pricing plateau.
John Deters, chief strategy officer of CBOE's parent company, CBOE Holding, also confirmed with CNBC in an exclusive interview that the institution believes cryptocurrencies including bitcoin will continue to grow and compete with leading banking service providers, as well as reserve currencies. Over the past 12 months, the market capitalization of bitcoin has increased from $8 billion to over $46 billion, recording a staggering growth rate in terms of trading volume and user growth."We've really come to the conclusion recently that cryptocurrencies are here to stay,” said Deters
Amen to that! Timeframe is within the next 18 months.
Trivia
I don't know if you saw the movie, Social Network. It told the story of how Mark Zuckerberg started Facebook while he was at Harvard. He had been talking to two brothers...wait for it!....the Winklevoss brothers about an application called ConnectU they wanted to develop. Zuckerberg worked for them a bit and then got sidetracked by developing his early version of Facebook.In 2004, the Winklevoss bros sued Zuckerberg, alleging that he stole their idea. They won! The final judgement was for $65 million.
This is xciting. Bitcoin is becoming more mainstream with more options for trading.