CME Head: BTC futures will decrease the coin's volatility

Terry Duffy, Head of CME Group, believes that he launch of bitcoin futures on the traditional financial will help reduce the volatility of the BTC
17 November 2017   1591

According to the head of CME Group, Terry Duffy, the launch of bitcoin futures on the traditional financial will help reduce the volatility of the first crypto currency. This is reported by the Business Insider.

Listen, it’s no mystery, this is a different product. We want to get out something that’s safe. 
 

Terry Duffy

Head, CME Group

According to mr. Duffy, BTC volatility will be reduced due to these factors:

  1. Bitcoin futures will not be able to trade 20% below or above the price of settlement the previous day.
  2. Bitcoin futures traders will have to put up approximately 30% collateral in the event they lose the bet.

Also, he belives that Bitcoin futures most likely, will attract to the market a younger generation of traders.

There’s a lot of young people that will like this type of marketplace, and they don’t even know what futures are today.
 

Terry Duffy

Head, CME Group

 

PBoC to Continue Anti-Crypto Propaganda

The regulator published a warning in its WeChat account called “Protection of the rights and interests of consumers of financial services”
23 March 2020   318

The People's Bank of China has returned to criticism of cryptocurrencies amid a worsening economic situation in the world.

On March 22, the regulator published a large-scale warning in its WeChat account under the heading “Protection of the rights and interests of consumers of financial services”. It describes three ways in which cryptocurrency service providers can mislead consumers.

First of all, the amount of fraud transactions with bots is serious. The average turnover rate of the top three overseas crypto currency exchanges is much higher than that of foreign licensed exchanges. Second, market manipulation exists in these exchanges where forced leveraged trading eventually causes the exchanges to explode. Third, money laundering is a big issue.

 

People's Bank of China

In addition, the Chinese Central Bank calls the opinion that Bitcoin may serve as a protective asset, erroneous. The regulator indicates its high volatility and recommends that citizens not follow the example of other investors and refuse to participate in cryptocurrency trading.