In the next two weeks, the CBOE and CME will pave the way for institutional investors with the launch of Bitcoin futures trading on the markets.
It is difficult to predict what will happen when short sellers enter the market, but it seems that some of the world's largest banks are not so keen on being held responsible for the risk involved.
Having received the approval of the Commodity Futures Trading Commission, the two trading platforms will be the first to offer speculative options on virtual currency. The Nasdaq should follow suit the next year and others plan their entry.
What is very clear, is that the big dogs of the bank and finance very closely monitor the market capitalization of Bitcoin. According to the Financial Times, a number of major banks are worried about the launch of Bitcoin futures, citing extreme market volatility.
The lobbying group, The Futures Industry Association, will file a formal complaint this week, claiming that the introduction of future Bitcoin has not followed the process of public participation and transparency
According to the lobby The letter from the group published by FT, CBOE and CME accepted to operate under a self-certified regime and was given the go-ahead without the regulators giving their opinion.
Part of the letter cites serious financial risks for the bank s:
"These new products do not reflect the potential risks that underlie their trading and should be reviewed. also that all the risk committees of the relevant stock exchanges were not consulted before the certification to launch these products. "
The concerns of the big banks
In simple terms, the traders futures could be threatened with a potential spin-off, as they are likely to settle the risk if a contract were to go south.
The margin on the contract is managed by a clearing house, which is essentially the intermediary between the two parties of a future contract.If one of the parties is failing, the clearing house serves as a safety net
La raiso n for which some large banks are concerned is that they partially finance these clearing houses, which means that they bear some of the risk associated with futures contracts.
Nevertheless, some brokers are ready to start trading next week. "We could sit for hours and have a philosophical debate about Bitcoin and its legitimacy and uses, but our job is to serve our customers." .