Eurex, the European derivatives exchange owned by Deutsche Boerse, said it will introduce bitcoin exchange-traded note (ETN) futures to meet “significant demand from institutional investors.”
- The move will establish the first regulated market in bitcoin-related derivatives in Europe, Eurex said Friday.
- The contracts will be launched Sept. 13 and be based on the Frankfurt Stock Exchange-listed BTCetc Bitcoin Exchange Traded Crypto (Ticker:BTCE).
- The derivative will give access to the price of bitcoin in a regulated on-exchange and centrally cleared environment, Eurex said.
- According to the firm, BTCE has been one of the most heavily traded contracts on Xetra since its June 2020 introduction.
- The contract will be traded in euros and physically delivered in bitcoin ETNs.
- “The Bitcoin ETN was equivalent to 1/1000th of a bitcoin at launch and is fully backed by and redeemable in bitcoin,” Eurex said.
- “There is significant demand from institutional investors to gain bitcoin exposure in a secure and regulated environment,” said Randolf Roth, a member of the Eurex's executive board.