Cboe Digital, the cryptocurrency division of the Chicago Board of Options Exchange, has announced that it will be launching margined futures for Bitcoin and Ether on January 11.
This comes after obtaining approval from the Commodity Futures Trading Commission (CFTC) for the products back in June.
According to a press release, Cboe Digital will be the first US regulated exchange and clearinghouse to offer both spot and leveraged derivatives trading on a single platform.
Margined futures allow traders to use leverage to take larger positions than their collateral amount, unlike regular futures.
The new product will be supported by several trading firms, including B2C2, BlockFills, CQG, Cumberland DRW, Jump Trading Group, and Marex.
Cboe Digital President John Palmer stated that futures have traditionally been valuable tools for hedging in traditional financial markets, and their introduction in the digital assets market will further enhance liquidity and hedging opportunities.
He also mentioned that this is a critical step in the continued growth of the crypto market.