Bitcoin trading goes mainstream
By Teamspirit Admin on Monday, 11 December 2017
Bitcoin futures are now available for trading on a major exchange, capping off an eventful year for cryptocurrencies.
The last twelve months have seen a flurry of ICOs and dramatic price rises, as well as stark warnings about the currency’s prospects from financial big-hitters like Jamie Dimon, CEO of JP Morgan.
Despite that, Bitcoin’s price has risen rapidly, from around $1000 in January to a peak of almost $17,000 in early December.
This weekend saw the digital currency take another step towards legitimacy with the launch of futures contracts – essentially a bet on whether prices will rise or fall – from the Chicago Board Options Exchange (CBOE).
Interest was high, with the CBOE website repeatedly crashing and the price of a January-expiring contract quickly rising 17% from $15,000 to $18,000+.
With more exchanges launching crypto-trading options in the next few weeks, it looks like digital currencies are finally going mainstream.
For financial services, this represents a challenge. As the public becomes tuned into this new market, how can brands offer clients a full range of investment options while protecting them from the risk inherent in a still-fledgling instrument?
To us, it seems clear that communication has a vital role to play. Ensuring that consumers are accurately and reliably informed about digital currencies and the risks they entail will be crucial, not just for financial services but for the future of crypto itself.
