Bitcoin price soars after introduction of CBOE Futures

Bitcoin prices spike by more than $1500 after CBOE Futures become available
11 December 2017   307

After all the collective fears about what the introduction of bitcoin futures will do to the cryptocurrency world, now everyone can stop holding their breath. It happened and there's no turning back. And you can't say that's bad news, because after CBOE finally started futures trading with bitcoin its price has started climbing.

The trading started yesterday on Gemini exchange at a price of $15000. As of now, the price is still rising and passed the $16500 mark. And the futures with expiration on January 2018 were trading at $18500, so the rise is $3500.

The rapid climb has already triggered two so called circuit breakers, which essentially is a defense mechanism implemented by the CBOE to give traders chance to stop and think over their next action, if any sudden price fluctuations take place. According to technical information, any gain or loss of more than 10% triggers a two minute break in trading to assess the situation, and any move above 20% will give a five-minute pause.

The introduction of bitcoin futures, which trade under the XBT ticker, can be the next big thing of trading market, because already more than 2000 contracts have been exchanged, and considering that one contract represents one Bitcoin, the total trading volume already exceeds $30 million. The demand was so high, actually, that the exchange's website had crashed under load almost immediately after opening the XBT trading option.

Bank of America: Cryptocurrencies Are a Threat

Bank of America (BoA) has admitted to US regulators it can not pretend any longer that cryptocurrencies are not a threat
23 February 2018   137

On February 22, the report was filed with the US Securities and Exchange Commission (SEC). It listed a range of economic, geopolitical, and operational risks that the Charlotte, NC-based bank faces as it heads into the new fiscal year. Crypto adoption was on the list for the first time.

Bank of America (BoA), which recently banned purchasing of crypto with credit cards, stated that this and other similar policies could cost the bank clients.

Clients may choose to conduct business with other market participants who engage in business or offer products in areas we deem speculative or risky, such as cryptocurrencies.

The second largest bank in the U.S. said that adoption of cryptocurrencies could require the bank to make “substantial expenditures” to update its existing services and remain competitive with upstart firms.

The widespread adoption of new technologies, including internet services, cryptocurrencies, and payment systems, could require substantial expenditures to modify or adapt our existing products and services.

According to the Bank of America, cryptocurrencies could limit the institution’s ability to comply with anti-money laundering regulations.

Eventually, this is one of the first public admissions that financial institutions are beginning to worry that mass cryptocurrency adoption could one day become a reality.