The interest in ether derivatives increases before the merger

The interest in ether derivatives increases before the merger

The demand for ether futures contracts and other crypto derivatives increases just a few days before the merger-the linchpin of the Ethereum blockchain from the proof-of-work to a proof-of-stake-based consensus mechanism.

The Ether Futures Contracts of the CME Group have had an increasing average daily volume and open interest this month, while Coinbase reports after the introduction of nano ether-futures volume records in crypto derivatives.

In September, the Ether Futures Contracts of the CME Group achieved an average daily volume (ADV) of 7,100 contracts, the Blockworks company said on Monday-an increase of 15 % compared to August. The average daily open interest (ADOI) for the contracts is 4,400, an increase of 10 % compared to the last month.

The number of large open interest owners-defined as a market participant with 25 or more contracts-achieved an all-time high for ether and micro-shere futures last week with 62 or 139 such owners, a company spokesman told block works.

Despite the increasing demand for ether futures, ADV and Adoi for the micro ther futures contracts of the CME Group-with a size of 0.1 ETH (160 USD)-fell by 12 % or 9 % in September.

Although the ADV for the micro ether options of the derivative marketplace was 2,100 contracts - a reduction of 59 % compared to August - the ADOI for the product was around 112,000, which corresponds to an increase of 43 % compared to the previous month.

The micro ether options of the CME Group had an ADV of around 5,260 contracts in August, which corresponds to an increase of more than 130 % compared to July. The open interest in these products was on average with a record of 75,959 contracts - an increase of about 135 % compared to the previous month - and reached an all -time high of 124,814 contracts on August 30th.

The company introduced options on Ether futures on Monday. The new contracts - based on the Foreign Exchange Products, said the new offers would complement the CME Group's Ether Futures, which were first offered in February 2021 and whose average daily volume increased by 43 % in the year.

"The introduction of our new ether option contracts is particularly favorable to provide the crypto community another important instrument to gain access to Ether and to manage exposure to ether," he said in an explanation.

Coinbase derivatives already a success

The Coinbase appointment exchange had a record sales day on September 9, just a few weeks after the start of her nano ether-food contracts.

Size at 1 ETH ($ 1,600), introduced on August 29. The start was followed by Coinbase, which Nano-Bitcoin futures contracts with a size of 0.01 BTC (205 $) provided at the end of June.

More than 200,000 Nano-Bitcoin futures and 85,000 nano ether-futures contracts were traded on Tuesday to noon, a company spokesman told Blockworks.

The nano ether futures are available via the retail brokers Edgeclear, Ironbeam, Ninjatatrader, Optimus Futures, Stage 5 and Tradovate as well as several clearing companies. Coinbase is waiting for approval to offer futures directly to customers.

Industry observers told Blockworks that sustainability -oriented institutions - such as pension funds and insurance companies - will probably be attracted to Ether in the future, since the energy consumption of the blockchain after the merger is expected to decrease by about 99.9 %.

Ben Dean, Director of Digital Assets at Wisdomtree in Europe, said that the transition of the blockchain to the Proof-of-Stake "The Investment Case" for the asset "completely changed".

. .

The contribution The interest in ether derivatives increases before the merger and is not financial advice.