CME Group, which includes the world’s largest derivatives exchanges, announced a new Bitcoin product. The expiry of this product called ‘Bitcoin Friday futures (BFF)’ will come at 4:00 p.m. New York time every Friday. New BFF contracts will be made available for investors to trade one day later, every Thursday at 6 p.m New York time.
Each BFF share will correspond to one 50th of the value of 1 Bitcoin. Payments to be made in sales will be in dollars, not BTC.

Pricing will be based on the index price of CF Benchmarks on the CME. Investors in these futures contracts will be able to trade for the nearest two Fridays.

Awaiting approval…

This product, which CME explained in detail, is still awaiting regulator approval. The product is expected to be launched on Monday, September 30.

With one-fiftieth of one bitcoin, investors will be able to trade with small positions.

Making a statement on the subject, CME Group Crypto Money Products Global Manager Giovanni Vicioso said:

“With these weekly expiring smaller-sized contracts, investors of all sizes – from institutions to sophisticated, active retail traders – will be able to more accurately fine-tune their bitcoin exposure on a regulated exchange. By settling to the BRRNY, the benchmark used by leading spot bitcoin ETFs, traders will also benefit from growing liquidity and the ability to more efficiently capture market moves during U.S. hours.”