After the CME announced its plans to launch Bitcoin futures, the price of the digital currency went skyrocketing, hitting a new record high of over $6,600. The American financial market company could bring more institutional investors into the leading cryptocurrency’s market, meaning that the cryptocurrency will see a new peak soon, informs CNBC.
Bitcoin went from $6,500 to $6,600 and above on Wednesday after CME revealed that it will launch Bitcoin futures later this year. The price of $6,600.84 was hit just hours after breaking through the $6,400 barrier, while the total value in circulation came to a whopping amount of $110 billion.
An even brighter future for the cryptocurrency?
“We’ve been working with the regulator. They understand our application. And they understand our model very, very well,” said Terry Duffy, CME Group chairman and CEO. This means that CME is determined to introduce Bitcoin futures contracts this quarter, just after regulatory approval.
The fact that this could mean more institutional investors into the market is what makes Bitcoin have the perfect couple of days. The cryptocurrency’s futures contract will be cash-settled and based on the CME CF Bitcoin Reference Rate (BRR), one established with the help of London-based digital trading platform Crypto Facilities back in 2016.
More and more countries are adopting it!
Earlier this year, the Japanese government allowed shops to begin accepting the world’s top crypto coin as payment, bringing the digital currency a very appreciated boost. To register another rose, the coin will need again a favorable regulation.
However, not everyone thinks that giving the coin too much power is such a good idea. JPMorgan Chase CEO Jamie Dimon has called Bitcoin a “fraud” and announced that everyone in his company that is caught trading it will be fired. Larry Fink, CEO of BlackRock, also has a negative perspective on the cryptocurrency, calling Bitcoin an “index of money laundering.” Despite these bad reviews, the cryptocurrency is up over 500 percent year-to-date.