What are bitcoin futures?

Futures are a type of derivative contract that obligate two parties to exchange an asset—or a cash equivalent—at a predetermined price on a future date. When investors buy and sell Bitcoin futures contracts, they are speculating about BTC’s future price.

Can a new bitcoin futures contract exchange-traded fund (ETF) start trading?

The world of bitcoin – and by extension, the world of cryptocurrency – has been given a lift by the US Securities and Exchange Commission (SEC) recently giving its seal of approval to allow a new bitcoin futures contract exchange-traded fund (ETF) to start trading.

What is a bitcoin ETF?

In case you want to know, an ETF is is a fund which tracks specific assets. In this case, the fund will track bitcoin futures. Previous attempts to set up a bitcoin EFT, albeit with BTC itself rather than with bitcoin futures, have been unsuccessful.

What are crypto futures & how do they work?

Crypto futures give investors the opportunity to bet on the future price of bitcoin without having to actually own or handle it. Futures are a type of derivative trading product. These are regulated trading contracts between two parties and involve an agreement to purchase or sell an underlying asset at a fixed price on a certain date.