Nexo

Start Earning Up to 16% Interest Automatically

Learn More
Home » Business » Bank of America Reportedly Approves Bitcoin Futures Trading 

Bank of America Reportedly Approves Bitcoin Futures Trading 

by

America's second-largest bank has reportedly started allowing clients to trade Bitcoin futures.

Bank of America Reportedly Approves Bitcoin Futures Trading 
Shutterstock cover by Michael Vi

Share this article

According to two anonymous sources, the Bank of America, the second-largest bank in the U.S, has started approving Bitcoin futures trading for some clients. 

The Bank of America Launches Bitcoin Futures 

Competition is increasing in Bitcoin futures trading. 

The Bank of America has started allowing some clients to trade bitcoin futures, two anonymous sources familiar with the matter told reporters at Coindesk. 

Futures trading has become an important part of institutional involvement with cryptocurrencies. Due to regulatory issues, large institutional investors may not want to hold Bitcoin directly. Instead, Bitcoin futures allow institutions to gain exposure to Bitcoin and other cryptocurrencies without holding the underlying assets. 

Interest in Bitcoin futures has been increasing. In the last two months, the volume of Bitcoin futures trading on the Chicago Mercantile Exchange (CME) has jumped from $910,000 to over $23 million.

The Bank of America will follow the likes of Goldman Sachs, which started providing Bitcoin futures trading through the CME back in May. According to one of the anonymous sources, the Bank of America will also use the CME for futures trading.

America is not the only country to see an explosion in Bitcoin futures trading. The Singapore-based exchange Bybit has also seen record trading volumes on Bitcoin futures, surpassing $4.2 billion in May. 

Despite the market downturn, Bitcoin futures still look to be in high demand. If institutional interest remains high, expect more banks to start offering their clients Bitcoin futures soon.

Disclaimer: At the time of writing this feature, the author held BTC and ETH. 

Share this article

The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.

Crypto Briefing may augment articles with AI-generated content created by Crypto Briefing’s own proprietary AI platform. We use AI as a tool to deliver fast, valuable and actionable information without losing the insight - and oversight - of experienced crypto natives. All AI augmented content is carefully reviewed, including for factural accuracy, by our editors and writers, and always draws from multiple primary and secondary sources when available to create our stories and articles.

You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.

See full terms and conditions.