Derivatives Exchange Giant CME Group Adds 11 New Cryptocurrency Reference Rates

newsbtcPublished on 2022-04-10Last updated on 2022-04-10

Abstract

CME Group is adding 11 more cryptocurrencies to the firm’s existing bitcoin and ethereum reference rates.

Derivatives Exchange Giant CME Group Adds 11 New Cryptocurrency Reference Rates

Global markets company and Chicago-based derivatives exchange CME Group plans to launch 11 new reference rates tied to specific crypto assets. The reference rates and real-time indices bolstered by CF Benchmarks are typically leveraged by exchange-traded products and other investment vehicles.

11 Crypto Assets Get Reference Rate Treatment From CME Group and CF Benchmarks

CME Group is adding 11 more cryptocurrencies to the firm’s existing bitcoin and ethereum reference rates. Crypto reference rates like the CME CF Reference Rates are often used as a benchmark for exchange-traded funds (ETFs) and other financial products.

The new rates cover polygon, solana, stellar, algorand, bitcoin cash, cardano, chainlink, uniswap, cosmos, litecoin, and polkadot values. Pricing data for the benchmarks will be provided by Bitstamp, Coinbase, Gemini, Itbit, Kraken, and LMAX. Each coin will leverage two exchanges, CME Group’s announcement discloses.

“As the digital asset market continues to expand, there is an increasing demand for reliable, standardized cryptocurrency pricing information based on robust, regulated reference rates,” Tim McCourt, CME Group’s global head of equity and FX products said in a statement. McCourt added:

These new benchmarks, which capture over 90% of the total investible cryptocurrency market cap today, are designed to allow traders, institutions and other users to confidently and more accurately manage cryptocurrency price risk, price portfolios or create structured products like ETFs.

The new reference rates for the 11 crypto assets can be used as benchmarks for bundled and diversified funds, ETPs, and derivatives markets. Elliot Johnson the chief investment officer at Evolve ETFs explained on April 7, that the company already uses CME CF Reference Rates for its crypto exchange-traded funds.

“Evolve’s physical-crypto ETFs rely on CME CF Reference Rates to provide liquidity, tight tracking, and reliable NAV for investors,” Johnson explained. “We’re very excited to see the CME CF index family expanding to lay the foundation for new, innovative ETFs in this highly coveted asset class,” the Evolve executive added.

CME Group’s new reference rates follow the launch of Micro Bitcoin (MBT) and Micro Ether futures (MET). MBT and MET contracts are “sized at one-tenth of their respective underlying tokens in size.” CME Group and CF Benchmarks plan to launch the 11 new crypto reference rates on April 25.

Iranian Rial Plunges to Record Low Amid New Sanctions Targeting Its "Lifeline" — Bitcoin Mining

The Iranian rial hit a record low, falling to approximately 2.02 million rials per dollar following new U.S. sanctions under Operation 'Economic Outcast.' The sanctions target over 60 entities, including Iran's digital assets sector for the first time, alongside gold and shipping. U.S. Treasury Secretary Scott Bessent aims to cripple Iran's central bank, warning of secondary sanctions. The IMF projects Iran's 2026 inflation at 68.9% and a 5.4% economic contraction. Iran has leveraged Bitcoin mining since 2019, with state-linked entities controlling an estimated 65% of its mining capacity. This sector, along with Iran's broader crypto ecosystem valued at $7.78 billion last year, has been a lifeline for the regime and its currency. The U.S. has been systematically disrupting this network, sanctioning key exchanges like Nobitex and seizing nearly $500 million in crypto assets. Despite these pressures, Iran has historically adapted to sanctions. However, its mining operations are now vulnerable due to strain on the national power grid and potential secondary sanctions against trading partners, threatening its ability to convert crypto assets into cash. The fall of the rial marks the latest chapter in this ongoing financial conflict.

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Iranian Rial Plunges to Record Low Amid New Sanctions Targeting Its "Lifeline" — Bitcoin Mining

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Hubei State-Owned Assets Achieve the Largest Return in History

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The Myth of AI Investment Collapses

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