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CME Group Expands Crypto Suite with Micro Ether Futures

CME Group says Micro Ether 'is an efficient, cost-effective way for a range of market participant so hedge their spot Ether price risk.'

CME Group  (CME) - Get CME Group Inc. Class A Report expanded its suite of cryptocurrency derivatives offerings with the launch of Micro Ether futures.

Shares of the Chicago company were up 2.53% to $230.16 at last check.

"The launch of Micro Ether futures underscores the significant growth and liquidity we have seen in our cryptocurrency futures and options," Tim McCourt, head of equity index and alternative investment products, said in a statement.

McCourt said Micro Ether futures are sized at one-tenth of one Ether.

"[It's] an efficient, cost-effective way for a range of market participants – from institutions to sophisticated, active, individual traders – to hedge their spot Ether price risk or more nimbly execute Ether trading strategies, all while retaining the features and benefits of CME Group's larger-sized Ether futures."

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Steve Sanders, executive vice president of marketing and product development at Interactive Brokers, said that as investor demand for digital assets continues to grow.

"We are pleased to now offer our clients access to Micro Ether futures as a cost-effective, efficient and transparent way to access cryptocurrency and manage Ether exposure."

CME Micro Ether futures are cash-settled, based on the CME CF Ether-Dollar Reference Rate, the company said, which serves as a once-a-day reference rate of the U.S. dollar price of Ether.

"Micro Ether futures is a timely example of CME Group providing product to the new retail market participants we have witnessed this past year, while also providing institutional asset managers more tools to track performance," said Bob Fitzsimmons, executive vice president at Wedbush Securities

Ether was up 3.23% to $4,322 at last check, while Bitcoin, which tumbled over the weekend, fell was up 3.6% to $51,007.