CME Launches Micro Bitcoin Futures

May 3, 2021 - CME Group today launched Micro Bitcoin futures, further expanding its suite of crypto derivatives offerings.

"We are pleased to introduce this new contract at a time when we continue to see consistent growth of liquidity and participation in our crypto futures and options," said Tim McCourt, CME Group Global Head of Equity Index and Alternative Investment Products. "At one-tenth the size of one bitcoin, Micro Bitcoin futures will provide an efficient, cost-effective way for a broad array of market participants – from institutions to sophisticated, active traders – to fine-tune their bitcoin exposure and enhance their trading strategies, all while retaining the benefits of CME Group's standard Bitcoin futures."

"Cryptocurrency has never been more popular than it is today, and we are really happy to support the launch of the Micro Bitcoin futures contract," said Steven Sanders, Executive Vice President, Marketing and Product Development at Interactive Brokers. "This smaller sized contract will enable more of our sophisticated, individual clients to participate in the market, and will allow our institutional clients to more precisely manage their bitcoin exposure."

"The launch of Micro Bitcoin futures addresses two of the biggest issues when it comes to investing in cryptocurrency, namely the high cost and the desire to engage within a regulated environment," said J.B. Mackenzie, Managing Director at TD Ameritrade Futures and Forex, LLC. "The demand from self-directed active traders for offerings such as this is high, and we're pleased to add Micro Bitcoin futures to the lineup of futures products available at TD Ameritrade."

"Offering Micro Bitcoin futures allows us to provide our customers with even more choice and precision in how they trade Bitcoin futures," said Daniel Ryba, Executive Director of futures at E*TRADE Financial. "The smaller contract size enables traders of all sizes – from institutions to active retail traders – to get exposure to bitcoin prices, or hedge their spot bitcoin positions. We are excited to support this product."

"As a platform for retail and institutional investors, we're excited to offer TradeStation Securities, Inc. ("TradeStation") clients Micro Bitcoin futures. By lowering the barrier of entry, more traders will be able to gain exposure to bitcoin," said John Bartleman, President of TradeStation Group, Inc., TradeStation's parent company. "We are day-one supporters of CME's Micro Bitcoin futures product, and we're looking forward to our continued relationship that allows us to prioritize our clients' access to cryptocurrencies through futures."

"The Micro Bitcoin futures meet a real market need for more granular exposure on Bitcoin futures," said Joshua Lim, Head of Derivatives, Genesis Trading. "More investors will be able to access and trade this market, and options liquidity providers like Genesis will be able to delta hedge with more precision."

CME Micro Bitcoin futures are cash-settled, based on the CME CF Bitcoin Reference Rate, which serves as a once-a-day reference rate of the U.S. dollar price of bitcoin. Micro Bitcoin futures are listed on and subject to the rules of CME.

The full contract specifications can be viewed here.