The Chicago Mercantile Exchange, or CME, registered a significant volume for its Bitcoin (BTC) futures trading product over the past 12 months. “More than 2.2 million contracts were traded in 2020,” a CME representative told Cointelegraph. Each cash-settled Bitcoin futures contract with the CME is worth the dollar value of five Bitcoin.
The trading center posted higher than usual numbers as Bitcoin’s price warmed in December, after a hiatus from its highest ever award in 2017 from $ 19,892 on December 1. BTC Average Daily Volume (ADV) reached 11,179 contracts (55.9K bitcoin equivalent) in December, up 114% year-on-year [year over year], ”Said the CME representative.
Average daily interest due, or ADOI, “reached a record 11,108 contracts (55,540 bitcoin equivalent) in Q4, up 233% from Q4 2019,” said a statement from CME Group. Big players showed up to trade as well, evidenced by the big open interest holders, or LOIH, count. “The number of LOIHs grew to a record 110 in the first week of December, signaling increased institutional interest,” said the CME representative.
A number of large financial entities expressed interest in Bitcoin in 2020including MicroStrategy and Square, which have allocated large sums of capital to crypto’s first assets.