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CBOE and Gemini to launch bitcoin future contracts

First Published 3rd August 2017

CBOE and Gemini enter into exclusive global license agreement to use bitcoin market data

Ed Tilly, CBOE

Ed Tilly, CBOE

Chicago - CBOE and Gemini Trust Company have announced an agreement that provides Chicago Board Options Exchange, Incorporated (CBOE) and its affiliates with an exclusive global license to use Gemini's bitcoin market data for bitcoin derivatives and indices.

Under the terms of the agreement, CBOE will have a multi-year exclusive global license permitting it to use Gemini's market data, including Gemini daily bitcoin auction values, in the creation of bitcoin derivatives products for listing and trading. Pending regulatory review by the U.S. Commodity Futures Trading Commission (CFTC), cash-settled bitcoin futures are planned to be made available for trading on CFE in the fourth quarter of 2017 or early 2018. Moreover, CBOE will retain exclusive rights to use Gemini market data for the creation of new indexes, as well as rights to distribute Gemini market data over CBOE's market data feeds.

Ed Tilly, CBOE Holdings Chairman and Chief Executive Officer, said: "CBOE is not only a home to options, derivatives and the VIX but also ETF innovations and foreign exchange. This makes us the natural choice for the development and trading of bitcoin futures. We very much look forward to responding to the growing interest in cryptocurrencies through the creation of bitcoin futures traded on a regulated derivatives exchange."

Added Tyler Winklevoss, Chief Executive Officer of Gemini: "Gemini's key concerns in the cryptocurrency ecosystem have always been security, compliance, and regulatory oversight. By working with the team at CBOE, we are helping to make bitcoin and other cryptocurrencies increasingly accessible to both retail and institutional investors."